Note 26. Interest in subsidiaries The consolidated financial statements incorporate the assets, liabilities and results of the following subsidiaries in accordance with the accounting policy described in Note 2: Ownership interest Principal place of business / Country of incorporation 30-June-26 % 30-June-25 % Methanol Australia Pty Ltd Australia 100 100 LNG Australia Pty Ltd Australia 100 100 MEO International Pty Ltd Australia 100 100 Finniss Offshore Exploration Pty Ltd Australia 100 100 Melbana Operations Pty Ltd Australia 100 100 Melbana Energy AC/P70 Pty Ltd Australia 100 100 Melbana Exploration Pty Ltd Australia 100 100 Melbana Energy Block 9 Pty Ltd Australia 100 100 MAY Energia España SL Spain 100 100 MAY Operaciones España SL Spain 100 100 Note 27. Interest in farm-out arrangements Name Principal place of business / Country of incorporation Block 9 PSC Cuba On 25 May 2020, the Consolidated Entity entered into a Farm-in Agreement (FIA) with Sonangol Pesquisa E Produção S.A (Sonangol). Under the terms of the FIA, Sonangol agreed to fund 85% of the cost of two exploration wells in Block 9 in return for receiving a 70% interest (Promote). The FIA provides Sonangol with a priority in recovery of the initial consideration it paid the Company (approximately equal to the Company’s historic costs related to Block 9 at that point) and the Promote it agreed to pay for the initial two exploration wells. On 17 August 2020, the Company announced that formal Cuban regulatory approvals had been received for Sonangol to acquire this 70% interest. At 30 June 2026, following Sonangol’s uncured funding default, its entire 70% participating interest was deemed assigned to Melbana under the Joint Operating Agreement. Sonangol is therefore no longer a participant in the joint operation. Final regulatory approval of the transfer remains outstanding. Group Commitments and contingent liabilities At 30 June 2026, the Consolidated Entity had no outstanding exploration or work program commitments for Block 9 or any of its Australian exploration permits. All commitments applicable at the reporting date had been satisfied. Any future commitments would arise only if the Consolidated Entity elects to enter a subsequent permit period or approves a new work program. Note 28. Events after the reporting period Subsequent to 30 June 2026, the Consolidated Entity received cash payments totalling $14,458,712 from Sonangol in partial settlement of amounts outstanding under the Block 9 joint operating arrangements. The payments reduced the outstanding receivable but did not settle the full amount due. At the date of this report, the Consolidated Entity continues to pursue recovery of all outstanding amounts. Other than the matters disclosed above, no matter or circumstance has arisen since 30 June 2026 that has significantly affected, or may significantly affect, the Consolidated Entity’s operations, results or state of affairs in future financial years. Notes to the Consolidated Financial Statements for the year ended 30 June 2026 74 Melbana Energy Limited Annual Report 2026
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