text: **NOTE 1 - STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES continued**
  
  **Impairment of Non-Financial Assets**
  The Group assesses impairment at each reporting date by evaluating conditions specific to the Group that may lead 
  to impairment of assets. Where an indicator of impairment exists, the recoverable amount of the cash-generating 
  unit to which the assets belong is then estimated based on the present value of future discounted cash flows. For 
  development and production assets, the expected future cash flow estimation is always based on a number of 
  factors, variables and assumptions, the most important of which are estimates of reserves, future production 
  profiles, commodity prices and costs. In most cases, the present value of future cash flows is most sensitive to 
  estimates of future oil price and discount rates. A change in the modeled assumptions in isolation could materially 
  change the recoverable amount. However, due to the interrelated nature of the assumptions, movements in any 
  one variable can have an indirect impact on others and individual variables rarely change in isolation. Additional, 
  management can be expected to respond to some movements, to mitigate downsides and take advantage of 
  upsides, as circumstances allow. Consequently, it is impracticable to estimate the indirect impact that a change in 
  one assumption has on other variables and therefore, on the extent of impairments under different sets of 
  assumptions in subsequent reporting periods. In the event that future circumstances vary from these assumptions, 
  the recoverable amount of the Group’s development and production assets could change materially and result in 
  impairment losses or the reversal of previous impairment losses. 