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Notes to the Financial Statements (cont’d)
For the financial year ended 31 December 2011
21. Other non-current assets
126
Group
2011
Building on Success: Developing Resources for the Future
Deferred
exploration
and
evaluation
expenditure
RM’000
Deferred
mine
development
expenditure
RM’000
Mining
assets
RM’000
Total
RM’000
At 1 January 2011 17,612 66,919 – 84,531
Additions 3,097 40,189 – 43,286
Amortisation to profit or loss (Note 4) (558) (29,140) – (29,698)
Exchange differences 391 662 – 1,053
At 31 December 2011 20,542 78,630 – 99,172
2010
At 1 January 2010 28,698 48,481 77,164 154,343
Additions 3,519 33,878 – 37,397
Amortisation to profit or loss (Note 4)
Attributable to disposal group classified as held for
(839) (11,724) – (12,563)
sale (Note 22) (9,373) – (13,135) (22,508)
Written off to profit or loss (Note 10) (2,654) – – (2,654)
Impairment loss (Note 11) – – (56,357) (56,357)
Exchange differences (1,739) (3,716) (7,672) (13,127)
At 31 December 2010 17,612 66,919 – 84,531
(a) Deferred expenditure
Mine exploration and evaluation and development expenditure represent expenditures incurred for several areas of
interest. The costs are carried forward to the extent that they are expected to be recouped through the successful
development of the areas or activities of the areas have not reached a stage that permits reasonable assessment of the
existence of economically recoverable ore reserves and resources.
(b) Mining assets
Mining assets were the fair value of economically recoverable coal reserves based on 1,500,000 tonnes of estimated
recoverable coal resources at US Dollar 15 per tonne arising from acquisition of Asiatic Coal Private Limited (“ACPL”) in
2009. The carrying amount of the mining assets has been reclassified to assets of disposal group held for sale. ACPL was
disposed on 2 November 2011. Please refer to Note 22 for details.
Based on the assessment and review made by the management, there is no indication of impairment for other non-current
assets.