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The Company expensed $94 million of exploration costs related to four unsuccessful exploration wells in Indonesia and two unsuccessful exploration wells in Trinidad. The Company also estimated the recoverable amount of Kurdistan exploration and evaluation assets and certain exploration and evaluation assets in Indonesian and Trinidad associated with unsuccessful wells and recognized impairments of $67 million. In addition, the Company recorded proceeds of a farm-out of $9 million and received $36 million from a former partner in exchange for assuming the partner's obligations for future drilling commitments.
5. Property, plant and equipment
a. Development assets----------------------------------------------------------------------------(thousands of U.S. dollars) Nine months ended Year ended Dec 31, 2012 March 31, 2012----------------------------------------------------------------------------Opening balance 16,988 18,421Additions 7,514 7,447Transfers to other asset categories - (8,880)----------------------------------------------------------------------------Closing balance 24,502 16,988----------------------------------------------------------------------------b. Producing assets----------------------------------------------------------------------------(thousands of U.S. dollars) Nine months ended Year ended Dec 31, 2012 March 31, 2012----------------------------------------------------------------------------CostOpening balance 1,042,869 1,019,696Additions - 16,458Transfers from other asset categories/adjustments(1) (3,711) 6,791Foreign currency translation 11 (76)----------------------------------------------------------------------------Closing balance 1,039,169 1,042,869----------------------------------------------------------------------------Accumulated depletionOpening balance (587,372) (312,767)Additions (110,211) (141,266)Foreign currency translation (10) 76----------------------------------------------------------------------------Impairment - (133,415)----------------------------------------------------------------------------Closing balance (697,593) (587,372)----------------------------------------------------------------------------Net producing assets 341,576 455,497----------------------------------------------------------------------------
1-The Company realized a settlement of liquidated damages of $3.7 million related to its producing asset in India and reduced the cost base of the asset accordingly.
c. Other Property, plant and equipment---------------------------------------------------------------------------- Office equipment,(thousands of Land and Transportation furniture and U.S. dollars) buildings vehicles fittings Pipelines Total----------------------------------------------------------------------------CostBalance, March 31, 2012 18,346 2,376 8,754 10,772 40,248Additions / Transfers 3 - 901 3 907Disposals /Impairment (27) (136) - (163)Foreign currency translation - - 16 - 16----------------------------------------------------------------------------Balance, Dec 31, 2012 18,349 2,349 9,535 10,775 41,008----------------------------------------------------------------------------Accumulated depreciationBalance, March 31, 2012 (6,127) (1,482) (4,449) (7,341) (19,399)Additions (763) (131) (1,121) (371) (2,386)Foreign currency translation - - (16) - (16)----------------------------------------------------------------------------Balance, Dec 31, 2012 (6,890) (1,613) (5,586) (7,712) (21,801)--------------------------------------------------------------------------------------------------------------------------------------------------------Net book value, Dec 31, 2012 11,459 736 3,949 3,063 19,207-------------------------------------------------------------------------------------------------------------------------------------------------------- Office equipment,(thousands of Land and Transportation furniture and U.S. dollars) buildings vehicles fittings Pipelines Total----------------------------------------------------------------------------CostBalance, March 31, 2011 18,108 2,395 5,978 10,752 37,233Additions 238 - 2,907 20 3,165Disposals - (19) (89) - (108)Foreign currency translation loss - - (42) - (42)----------------------------------------------------------------------------Balance, March 31, 2012 18,346 2,376 8,754 10,772 40,248----------------------------------------------------------------------------Accumulated depreciationBalance, March 31, 2011 (4,880) (1,148) (3,390) (6,738) (16,156)Additions (1,247) (352) (1,126) (603) (3,328)Disposals - 18 34 - 52Foreign currency translation gain - - 33 - 33----------------------------------------------------------------------------Balance, March 31, 2012 (6,127) (1,482) (4,449) (7,341) (19,399)--------------------------------------------------------------------------------------------------------------------------------------------------------Net book value, March 31, 2012 12,219 894 4,305 3,431 20,849----------------------------------------------------------------------------
