Korea National Oil Corporation and Its Subsidiaries Consolidated financial Statements for the Year Ended December 31, 2019 with the Independent Auditor’S Report

Korea National Oil Corporation and Its Subsidiaries Consolidated financial Statements for the Year Ended December 31, 2019 with the Independent Auditor’S Report

Korea National Oil Corporation and its subsidiaries Consolidated financial statements for the year ended December 31, 2019 with the independent auditor’s report Korea National Oil Corporation Table of contents Page(s) Independent auditor’s report Consolidated financial statements Consolidated statements of financial position .................................................................................... 1 Consolidated statements of comprehensive income(loss) ................................................................ 2 Consolidated statements of changes in equity ................................................................................... 3 Consolidated statements of cash flows ........................................................................................ 4 ~ 5 Notes to the consolidated financial statements ......................................................................... 6~ 123 한영회계법인 Ernst & Young Han Young 서울특별시 영등포구 여의공원로 111, 태영빌딩 3-8F Taeyoung Building, 111, Yeouigongwon-ro, 07241 Yeongdeungpo-gu, Seoul 07241 Korea Tel: 02 3787 6600 Tel: +82 2 3787 6600 Fax: 02 783 5890 Fax: +82 2 783 5890 ey.com/kr ey.com/kr Independent auditor’s report The Shareholders and Board of Directors Korea National Oil Corporation Opinion We have audited the accompanying consolidated financial statements of Korea National Oil Corporation(the “Company”) and its subsidiaries(collectively, the “Group”), which comprise the consolidated statement of financial position as of December 31, 2019 and the consolidated statement of comprehensive income(loss), consolidated statement of changes in equity and consolidated statement of cash flows for the year then ended, and the notes to the financial statements, including a summary of significant accounting policies. In our opinion, the consolidated financial statements present fairly, in all material respects, the consolidated financial position of the Group as of December 31, 2019, and its consolidated financial performance and its consolidated cash flows for the year then ended in accordance with the Rules for Accounting Affairs of Public Corporations and Quasi-governmental Institutions. Basis for opinion We conducted our audit in accordance with Korean Auditing Standards(“KGAAS”). Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the consolidated financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the consolidated financial statements in the Republic of Korea, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Responsibilities of management and those charged with governance for the consolidated financial statements Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with the Rules for Accounting Affairs of Public Corporations and Quasi-governmental Institutions, and for such internal control as management determines is necessary to enable the preparation of the consolidated financial statements that are free from material misstatement, whether due to fraud or error. In preparing the consolidated financial statements, management is responsible for assessing the Group’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 Group or to cease operations, or has no realistic alternative but to do so. Those charged with governance are responsible for overseeing the Group’s financial reporting process. Auditor’s responsibilities for the audit of the consolidated financial statements Our objectives are to obtain reasonable assurance about whether the consolidated 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 KGAAS 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 consolidated financial statements. As part of an audit in accordance with KGAAS, we exercise professional judgment and maintain professional skepticism throughout the audit. We also: Identify and assess the risks of material misstatement of the consolidated 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 Group’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 Group’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 consolidated 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 Group to cease to continue as a going concern. Evaluate the overall presentation, structure and content of the consolidated financial statements, including the disclosures, and whether the consolidated financial statements represent the underlying transactions and events in a manner that achieves fair presentation. Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the Group to express an opinion on the consolidated financial statements. We are responsible for the direction, supervision and performance of the group audit. We remain solely responsible for our audit opinion. 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. Emphasis of matters Without qualifying our conclusion, we draw attention to Note 2 to the condensed financial statements which states that the Group applies Korean International Financial Reporting Standards (KIFRS) where specific accounting treatments are not prescribed by the Rules for Accounting Affairs of Public Corporations and Quasi- governmental Institutions. No material matter has been applied differently from KIFRS. Other Matters The consolidated financial statements of the Group for the year ended December 31,ㅉ 2018, were audited by KPMG Samjung Accounting Corp., in accordance with KGAAS (not presented herein) whose report dated March, 9, 2019 (not presented herein), expressed an unqualified opinion thereon. The accompanying consolidated statement of financial position as of December 31, 2018 presented for comparative purpose is not different, in all material respects, from the above audited consolidated statement of financial position. March 3rd, 2020 111, Yeouigongwon-ro, Yeongdeungpo-gu, Seoul, Republic of Korea This audit report is effective as of March 3rd, 2020, the independent auditor’s report date. Accordingly, certain material subsequent events or circumstances may have occurred during the period from the date of the independent auditor’s report to the time this report is used. Such events and circumstances could significantly affect the accompanying consolidated financial statements and may result in modifications to this report. Korea National Oil Corporation and its subsidiaries Consolidated financial statements for the years ended December 31, 2019 and 2018 “The accompanying consolidated financial statements, including all footnotes and disclosures, have been prepared by, and are the responsibility of, the Group.” Su-Yeong, Yang Chief Executive Officer Korea National Oil Corporation Korea National Oil Corporation and its subsidiaries Consolidated statements of financial position December 31, 2019 and 2018 (in Korean won) Notes 2019 2018 Assets Current assets Cash and cash equivalents 5,6,26,41,43 \ 725,056,410,891 \ 778,120,148,878 Current financial assets 7,10,12,41,42,43 312,477,148,056 87,103,034,162 Trade and other receivables, net 8,23,41,43 484,674,617,029 444,109,507,070 Inventories, net 13 98,001,120,211 95,619,589,763 Current income tax assets 5,467,561,503

View Full Text

Details

  • File Type
    pdf
  • Upload Time
    -
  • Content Languages
    English
  • Upload User
    Anonymous/Not logged-in
  • File Pages
    128 Page
  • File Size
    -

Download

Channel Download Status
Express Download Enable

Copyright

We respect the copyrights and intellectual property rights of all users. All uploaded documents are either original works of the uploader or authorized works of the rightful owners.

  • Not to be reproduced or distributed without explicit permission.
  • Not used for commercial purposes outside of approved use cases.
  • Not used to infringe on the rights of the original creators.
  • If you believe any content infringes your copyright, please contact us immediately.

Support

For help with questions, suggestions, or problems, please contact us