| SEGMENT INFORMATION |
The
Company operated in two reportable segments within the USA during the three and nine months ended May 31, 2019 and 2018: oil extraction
and processing operations and mining operations.
Once
the expansion of the plant has reached a stage of completion where it is viable to commence production and the requisite licenses
have been obtained, the Company’s oil extraction segment will be able to commence commercial production and will generate
revenue from the sale of hydrocarbon products to third parties.
The presentation of the condensed
consolidated statements of loss and comprehensive loss provides information about the oil extraction and processing segment. There
were minimal operations in the mining operations segment during the three and nine months ended May 31, 2019 and 2018. Other information
about reportable segments are:
| |
|
May 31, 2019 |
|
|
(in ’000s of dollars)
|
|
Oil
Extraction |
|
|
Mining operations |
|
|
Consolidated |
|
| Additions to non-current assets |
|
$ |
7,851 |
|
|
$ |
10,800 |
|
|
$ |
18,651 |
|
| Reportable segment assets |
|
|
37,291 |
|
|
|
19,655 |
|
|
|
56,946 |
|
| Reportable segment liabilities |
|
$ |
10,584 |
|
|
$ |
169 |
|
|
$ |
10,753 |
|
| |
|
May 31, 2018 |
|
|
(in
’000s of dollars)
|
|
Oil
Extraction |
|
|
Mining operations |
|
|
Consolidated |
|
| Additions to non-current assets |
|
$ |
3,025 |
|
|
$ |
- |
|
|
$ |
3,025 |
|
| Reportable segment assets |
|
|
22,959 |
|
|
|
9,047 |
|
|
|
32,006 |
|
| Reportable segment liabilities |
|
$ |
7,821 |
|
|
$ |
169 |
|
|
$ |
7,990 |
|
Segment
operating results are as follows:
| |
|
May
31, 2019 |
|
|
(in
’000s of dollars)
|
|
Oil
Extraction |
|
|
Mining operations
|
|
|
Consolidated |
|
| |
|
|
|
|
|
|
|
|
|
| External
Revenues |
|
$ |
59 |
|
|
$ |
- |
|
|
$ |
59 |
|
| Cost of Goods Sold |
|
|
729 |
|
|
|
199 |
|
|
|
928 |
|
| Gross Loss |
|
|
(670 |
) |
|
|
(199 |
) |
|
|
(869 |
) |
| Operating Expenses |
|
|
|
|
|
|
|
|
|
|
|
|
| General and administrative |
|
|
593 |
|
|
|
13 |
|
|
|
606 |
|
| Travel and promotion |
|
|
1,959 |
|
|
|
- |
|
|
|
1,959 |
|
| Professional fees |
|
|
3,363 |
|
|
|
- |
|
|
|
3,363 |
|
| Legal fees |
|
|
1,343 |
|
|
|
- |
|
|
|
1,343 |
|
| Research and development |
|
|
113 |
|
|
|
- |
|
|
|
113 |
|
| Salaries and wages |
|
|
1,043 |
|
|
|
- |
|
|
|
1,043 |
|
| Share-based compensation |
|
|
916 |
|
|
|
- |
|
|
|
916 |
|
| Loss on settlement of liabilities |
|
|
98 |
|
|
|
- |
|
|
|
98 |
|
| Loss on convertible debt |
|
|
100 |
|
|
|
- |
|
|
|
100 |
|
| Interest expense |
|
|
2,534 |
|
|
|
- |
|
|
|
2,534 |
|
| Equity loss |
|
|
150 |
|
|
|
- |
|
|
|
150 |
|
| Other income |
|
|
(95 |
) |
|
|
- |
|
|
|
(95 |
) |
| Depreciation and amortization |
|
|
54 |
|
|
|
- |
|
|
|
54 |
|
| Net
loss |
|
$ |
12,841 |
|
|
$ |
212 |
|
|
$ |
13,053 |
|
Segment
operating results are as follows:
| |
|
May 31, 2018 |
|
| (in ’000s of dollars) |
|
Oil
Extraction |
|
|
Mining
operations |
|
|
Consolidated |
|
| |
|
|
|
|
|
|
|
|
|
| External Revenues |
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
| Cost of Goods Sold |
|
|
29 |
|
|
|
205 |
|
|
|
234 |
|
| Gross Loss |
|
|
(29 |
) |
|
|
(205 |
) |
|
|
(234 |
) |
| Operating Expenses |
|
|
|
|
|
|
|
|
|
|
|
|
| General and administrative |
|
|
401 |
|
|
|
11 |
|
|
|
412 |
|
| Travel and promotion |
|
|
2,087 |
|
|
|
- |
|
|
|
2,087 |
|
| Professional fees |
|
|
1,576 |
|
|
|
- |
|
|
|
1,576 |
|
| Legal fees |
|
|
140 |
|
|
|
- |
|
|
|
140 |
|
| Salaries and wages |
|
|
639 |
|
|
|
- |
|
|
|
639 |
|
| Share-based compensation |
|
|
2,523 |
|
|
|
- |
|
|
|
2,523 |
|
| Gain on settlement of liabilities |
|
|
(216 |
) |
|
|
- |
|
|
|
(216 |
) |
| Interest expense |
|
|
323 |
|
|
|
- |
|
|
|
323 |
|
| Other income |
|
|
(51 |
) |
|
|
- |
|
|
|
(51 |
) |
| Equity income from investment in Accord Energy |
|
|
- |
|
|
|
- |
|
|
|
- |
|
| Depreciation and amortization |
|
|
890 |
|
|
|
- |
|
|
|
890 |
|
| Net loss |
|
$ |
8,341 |
|
|
$ |
216 |
|
|
$ |
8,557 |
|
|