Note 4. Operating segments The Consolidated Entity operates in the petroleum exploration industry within Australia and Cuba. The Board of Directors currently receive regular consolidated cash flow information as well as Consolidated Statement of Financial Position and Statement of Comprehensive Income information that is prepared in accordance with Australian Accounting Standards. The Board does not currently receive segmented Statement of Financial Position and Statement of Comprehensive Income information. The Board manages exploration activities of each permit area through review and approval of budgets, joint venture cash calls and other operational information. Information regarding exploration expenditure capitalised for each area is contained in Note 12. Note 5. Other income 30-June-24 $ 30-June-23 $ Operator’s indirect expenses charge 1,038,019 2,595,344 Operator charges to Joint Operating Partner – no fault cost overruns 6,856,227 – Other income 7,894,246 2,595,344 Other income is recognised when it is received or when the right to receive payment is established. Note 6. Finance costs 30-June-24 $ 30-June-23 $ Bank’s fees 356,406 312,648 Interest expense – 1,059 Finance Costs 356,406 313,707 Note 7. Income tax expense 30-June-24 $ 30-June-23 $ Numerical reconciliation of income tax expense and tax at statutory rate Loss before income tax expense 3,259,760 (1,001,999) Tax at the statutory tax rate of 25% 814,940 (250,500) Tax effect amounts which are not deductible/(taxable) in calculating taxable income: Non-assessable non-exempt income – – Other non-deductible expenditure – – 814,940 (250,500) Tax Losses not brought to account – 250,500 Utilisation of prior year Tax Losses not brought to account (814,940) – Interest tax expense – – Tax losses not recognised Unused tax losses for which no deferred tax asset has been recognised 183,960,547 187,220,307 Potential tax benefit of 25% 45,990,137 46,805,077 The above potential tax benefit for tax losses has not been recognised in the statement of financial position. These tax losses can only be utilised in the future if the continuity of ownership test is passed, or failing that, the same business test is passed. 53 Melbana Energy Limited Annual Report 2024
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