Financial Statement (IFRS): FY 2020 - 2021

INDEPENDENT AUDITOR'S REPORT

To the Board of Directors of Great Eastern Energy Corporation Limited

Report on the Audit of the Financial Statements

Opinion

We have audited the financial statements of Great Eastern Energy Corporation Limited ("the Company"), which comprise the statement of financial position as at March 31, 2021, and the statement of profit and loss and other comprehensive income, statement of changes in equity and statement of cash flows for the year then ended, and notes to the financial statements, including a summary of significant accounting policies.

In our opinion, the accompanying financial statements give a true and fair view of the financial position of the Company as at March 31, 2021, and of its financial performance and its cash flows for the year then ended in accordance with International Financial Reporting Standards (IFRSs) as issued by International Accounting Standards Board ("IASB‟).

Basis for Opinion

We conducted our audit in accordance with International Standards on Auditing (ISAs). Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statements section of our report. We are independent of the Company in accordance with the International Ethics Standards Board for Accountants‟ Code of Ethics for Professional Accountants (IESBA Code) together with the ethical requirements that are relevant to our audit of the financial statements in India, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the IESBA Code. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the financial statements of the current period. These matters were addressed in the context of our audit of the financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters. For each matter below, our description of how our audit addressed the matter is provided in that context.

We have fulfilled the responsibilities described in the Auditor's responsibilities for the audit of the financial statements section of our report, including in relation to these matters. Accordingly, our audit included the performance of procedures designed to respond to our assessment of the risks of material misstatement of the financial statements. The results of our audit procedures, including the procedures performed to address the matters below, provide the basis for our audit opinion on the accompanying financial statements.

Key audit matters			How our audit addressed the key audit matter
Estimation of Gas Reserves (as described in note 2.2 of the financial statements)
The estimation of gas reserves and resources	Our work included following procedures:
is a significant area of judgement due to the	∙ We have assessed the competence and objectivity of the
technical uncertainty in assessing quantities.		experts that they were qualified to carry out the volume‟s
Reserves and resources are	key	inputs for		estimation.
∙	We have assessed that the Guidelines and methodology
calculation of depreciation	and	also, it‟s a
	used by the expert to estimate the reserves and resources
fundamental indicator of the future potential
	were made in compliance with the relevant regulations
of the Company‟s performance.
		and industry practices.
			∙	We understood the Company‟s process associated with

Key audit matters	How our audit addressed the key audit matter
	estimation of gas reserves and assessed that the updated
	reserves and resources estimates were included in the
	Company‟s consideration of impairment assessment and
	in accounting for depletion, depreciation and
	amortization.
	∙ Assessed the adequacy of disclosure made by the
	Company in the financial statements.

Other Information included in the Company's Annual Report for 2020-21

Other information consists of the information included in the Annual Report, other than the financial statements and our auditor‟s report thereon. Management is responsible for the other information.

Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Responsibilities of Management and Those Charged with Governance for the Financial Statements.

Management is responsible for the preparation of these financial statements that give a true and fair view in accordance with IFRSs and for such internal control as management determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, management is responsible for assessing the Company‟s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

Those charged with governance are responsible for overseeing the Company‟s financial reporting process.

Auditor's Responsibilities for the Audit of the Financial Statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor‟s report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

As part of an audit in accordance with ISAs, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

• Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from

fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the
  Company‟s internal control.
• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.
• Conclude on the appropriateness of management‟s use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company‟s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor‟s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor‟s report. However, future events or conditions may cause the Company to cease to continue as a going concern.
• Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.

From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the financial statements of the current period and are therefore the key audit matters. We describe these matters in our auditor‟s report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.

The partner in charge on the audit resulting in this independent auditor‟s report is Pravin Tulsyan.

For S.R. Batliboi & Co. LLP

Chartered Accountants

ICAI Firm Registration Number: 301003E/E300005

Per Pravin Tulsyan

Partner

Membership No.: 108044

UDIN: 21108044AAAAIC5576

Place: Gurugram

Date: 13th July 2021

Great Eastern Energy Corporation Limited

(All amounts in US dollars unless otherwise stated)

Statement of financial position
		As at
	Note	31 March 2021	31 March 2020
ASSETS
Non-current assets
Property, plant and equipment	4.1	136,683,681	135,874,714
Right-of-use asset	4.2	1,378,217	1,429,330
Capital work-in-progress (including Wells in progress)	5	7,780,454	8,172,920
Intangible assets	6	96,075	104,934
Prepayments	7	80,397	109,498
Trade and other receivables	8	143,734	138,901
Deferred tax asset (net)	16	1,048,025	1,258,798
Tax assets (net)		10,934	63,487
Total non-current assets		147,221,517	147,152,582
Current assets
Trade and other receivables	8	1,271,395	2,038,841
Liquid investments	9a	6,014,361	8,895,059
Prepayments	7	111,219	84,120
Restricted deposits with banks	9b	1,654,037	1,446,469
Cash and cash equivalents	10	37,886	184,741
Total current assets		9,088,898	12,649,230
Total assets		156,310,415	159,801,812

Equity

Issued capital	11
Share premium	11
Reserves	11
Retained earnings
Total equity attributable to equity holders of the Company
Non-current Liabilities
Interest bearing loans and borrowings	12
Employee benefit liabilities	13
Provisions	15
Total non-current liabilities
Interest bearing loans and borrowings	12
Trade and other payables	14
Employee benefit liabilities	13
Income tax payable (net)
Total current liabilities

Total liabilities

Total equity and liabilities

13,306,00713,306,007

91,006,85891,006,858

(35,026,844) (37,206,595)

21,138,33619,640,401

90,424,357 86,746,671

51,498,42957,450,773

581,338554,355

275,543266,923

52,355,310 58,272,051

9,079,20910,286,539

3,645,7533,747,228

725,824695,716

79,96253,607

13,530,748 14,783,090

65,886,058 73,055,141

156,310,415 159,801,812

The accompanying notes form an integral part of the financial statements.

On behalf of Board of Directors
Yogendra Kr. Modi	Prashant Modi
Executive Chairman	Managing Director &
Chief Executive Officer
Place: Delhi	Place: Delhi
Date: 13 July 2021	Date: 13 July 2021

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Great Eastern Energy Corporation Limited

(All amounts in US dollars unless otherwise stated)

Statement of profit or loss

		For the year ended
		31 March		31 March
	Note
	2021		2020
Revenue from operations	27	25,678,372	35,588,444
Other income	17	621,687	657,012
		26,300,059	36,245,456
Employee benefit expenses	18	(3,894,369)	(4,206,156)
Other expenses	19	(8,758,649)	(11,089,169)
Finance income	20	159,752	390,197
Finance costs	21	(7,077,280)	(8,698,035)
Depletion, depreciation and amortisation	4,6, 2.3 (f)	(4,072,837)	(4,675,565)
Exchange fluctuation gain / (loss) (net)		(795,624)	(1,477,346)
		(24,439,007)	(29,756,074)
Profit before tax		1,861,052	6,489,382
Income tax expense
Current tax	16	(186,362)	(982,718)
Income tax for earlier years		(61,246)	-
Deferred tax (expense)/income	16	(240,848)	3,446,994
Profit for the year		1,372,596	8,953,658
Profit attributable to:
Equity holders of the Company		1,372,596	8,953,658
Earnings per share
Basic earnings per share	22	0.02	0.15
Diluted earnings per share	22	0.02	0.15

The accompanying notes form an integral part of the financial statements.

On behalf of Board of Directors

Yogendra Kr. Modi	Prashant Modi
Executive Chairman	Managing Director &
Chief Executive Officer
Place: Delhi	Place: Delhi
Date: 13 July 2021	Date: 13 July 2021

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