text: **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS**
  
  **NOTE 35 – DEED OF CROSS GUARANTEE**
  
  Pursuant to Class Order 98/1418, the wholly-owned subsidiary, Armadillo Petroleum Limited (“APL”), is relieved 
  from the*Corporations Act 2001*requirements for preparation, audit and lodgement of its financial reports. 
  
  As a condition of the Class Order, SEAL and APL (“the Closed Group”) have entered into a Deed of Cross Guarantee 
  (“Deed”). The effect of the Deed is that SEAL has guaranteed to pay any deficiency in the event of the winding up of 
  APL under certain provision of the*Corporations Act 2001*. APL has also given a similar guarantee in the event that 
  SEAL is wound up. 
  
  Set out below is a consolidated statement of profit or loss and other comprehensive income and retained earnings 
  of the Closed Group: 