备注 1 – 组织和主要活动

印度尼西亚能源有限公司（以下简称“公司”、“IEC”、“我们”和类似术语），透过在香港和印尼的子公司，是一家专注于印尼市场的石油和燃料币勘探和生产公司。公司目前透过在印尼的子公司持有两个石油和燃料币资产：一个生产区块（“Kruh区块”）和一个勘探区块（“Citarum区块”）。公司还确定了一个潜在的第三个勘探区块，称为“Rangkas区域”。2024年6月，公司在其Kruh区块展开了新的3D地震勘探作业。重要的是，公司预计这项地震工作的结果将使其能够在2025年在Kruh区块钻探一口新的生产井，其余13口井将于2025年至2028年间钻探，取决于进行此类活动所需的资金。63,000 英亩Kruh区块的地震工作已经开始。公司预期这项地震工作的结果将使其能够在2025年在Kruh区块钻探一口新的生产井，其余13口井将于2025年至2028年间钻探，前提是有足够的资金进行此类活动。 所需资金的可用性是否充分，需要进行此项活动。

注意 2 - 重要会计政策摘要

注意 3 – 预付款和其他资产

在 截至2023年12月31日，公司将某些钻井设备卖给第三方Pt Andam Resorsis Nusantara。截至本6-k表格报告日期，公司尚有$未偿还的余额550,000，预计将在2025年12月前收到。考虑到违约风险，公司截至2023年12月31日记录了对怀疑账款的$59,604 备抵金额。 不 对截至2024年6月30日的怀疑账款提供或撤销了备抵金额。

注意事项 4 - 石油和天然气资产，净值

在截至2024年6月30日的六个月期间，公司发生了总计的发展成本、废弃和场地恢复准备金，这些费用被资本化为$1,208,284，主要用于发展管理成本以及地质和地球物理研究、地震研究和废弃和场地恢复(ASR)重新计算。

自2024年和2023年6月30日结束的六个月中，对已担受耗竭支出的产权进行记录，金额为$258,850 15.1551,225，分别为7月31日和4月30日的未清余额。

此外，在截至2024年6月30日的六个月中，公司根据进行的天花板测试，并未记录任何对油气资产的减损情况，该测试显示油气资产产生的未来净收入的现值超过了携带余额。

备注 5 - 资产 售后服务和支援财产 净额

折旧 计提至费用总额为$46,240 15.146,239 分别为2024年6月30日和2023年6月30日结束的六个月。

注意 6 – 营运资本贷款

开启 2024 年 5 月 10 日，公司借出六个月贷款 在 $ 的金额248,447 与 到期日 二零二四年十一月九日 来自第三方, 努桑塔拉集团科莫迪塔斯 PT, 为 营运资金目的。贷款的利率为百分之十二（12百分比) 每年，根据贷款日期至到期日之主要贷款金额计算。贷款被记录在其他流动 负债。截至二零二四年六月三十日和二零二三年十二月三十一日，有 $283,295 和 零 该等贷款被分类 分别在其他流动负债下。

注： 7 – 财务负债

于2022年1月21日（「初期结束日期」），公司完成了首期 $ 的初次结算。5,000,000 私募定向增发合共计 $ 的第一批款项（「首批款项」）7,000,000 与L1 Capital全球货币机会主基金（「L1 Capital」）根据2022年1月21日与公司和L1 Capital之间的证券购买协议（「购买协议」）的条款，结束了一项私募定向增发。 6% 原始发行折扣高级可转换票据，金额最高可达 $ （「票据」）和7,000,000 五年期普通股认购权证（「初始认购权证」）的发行价格为每股 $ 的至多股份 383,620 股份的行使价为每股 $，须受调整。截至原购买协议签署日期，预计在 $ 下将进行票据增资的第二批款项（「第二批款项」）。票据应扣除 6.00 为 $身2,000,000 第二批款项金额为 $）已考虑在各种条件下决定。该票据受到 6.0原始发行折扣为%。除非发生违约事件（如债券中所定义），否则该债券不支付利息。

起始 初步收盘日后120天，公司须开始进行偿还债券的月付分期付款，直至到期（或者14期）（"月付款"），这些月付款可以根据公司的选择以现金或普通股（或现金和普通股的组合）支付，这些普通股的发行价值不得超过两者中较低者：（i）每股＄6.00 每股或（ii） 90%，取其所规定的十（10）个交易日中最低收盘买盘价的平均值的$每股，并设有每股＄1.20 底价。此外，在适用于债券基础上的相关普通股的登记声明生效后的任何时候（该等登记声明于2022年6月1日宣告生效），该债券可以随时（全部或部分）由L1 Capital选择，转换为通过将L1 Capital选择转换的债券未清偿本金额部分除以$每股确定的已全额支付和无需征税的普通股数目，而该价格按照债券条款的规定进行调整。在出现未纠正的任何违约事件时，公司将有义务在第一次违约事件发生的日期支付给L1 Capital等于修订债券未清偿本金额的百分之一百二十（6.00 ％）的金额。120

在2022年3月4日，公司与L1 Capital签订了关于购买协议的首次修订和一份经修订与重订的购股票据（“修订据”），条款包括增加了第二部分金额从$2,000,000 $5,000,000。在第二部分金额的资金到位后，L1 Capital有权获得额外的五年期普通股购买权证（“第二授权证”），以$ 383,620 每股购买6.00 美元的普通股（需调整）。

2022年5月16日，该公司和L1 Capital签署了第二份修订及重订资本可转换担保票据，修改和重订了完整的修订票据（“第二次修订票据”及与票据和修订票据一起简称为“票据”）。第二次修订票据规定了二期款项的优先资助，该款项于2022年5月23日资助给该公司，同时将第二份认股权证发给L1 Capital。

会计处理 可转换票据

领用 2020-06年ASU

2020年8月，FASb发布ASU No. 2020-06《债务-具转换及其他期权的债务（主题470-20）和衍生品及避险-实体自身权益合同（主题815-40）》（“ASU 2020-06”）。此更新取消了对带现金转换功能的可转债务和具有有利转换功能的可转换工具的分开模型。根据ASU 2020-06的规定，这些功能将与母合同合并。ASU 2020-06对于按照主题815中的衍生品处理的转换功能没有影响。此更新还要求应对可转换工具使用按换股计算法，并在可能以现金或股份结算的工具时，将潜在股份结算的效应包含在稀释每股盈余计算中。此更新的修订对于从2021年12月15日后开始的公众公司的财政年度以及这些财政年度内的中期期间生效。修订应通过在实体财政年度开始时通过全面回顾法或修改后回顾法进行适用。允许提前采用。公司已选择于2022年1月1日生效该标准。

公司评估了与L1 Capital的债券条款，并得出该工具不需要分开，也没有其他需要分开的衍生工具。公司根据ASC 815-15-25评估了债券的内嵌特征，并确定最重要的特征是类似股权的转换选择权，这不明确而且不紧密关联到债务主工具。公司进一步确定它不符合衍生工具的定义，因此不需要分割并单独以公允价值计量。因此，没有权益组件，公司将债券记录为合并资产负债表中长期负债的一个单一负债。

最初的认股权证和第二个认股权证（统称为“认股权证”）是与票据有关联发行的，并且行使这些认股权证不取决于票据的转换；因此，收入首先根据其公允价值分配给认股权证，剩余部分分配给票据。

公司发行债券时产生了与债券金额相关的债务发行成本。811,000这些成本根据认定的权证公允价值分配给权证，并将剩余收益分配给债券，与所收到的总收益进行比较。衍生权证责任相关的债务发行成本视为发生时支出，在合并利润表中列为其他费用。与债券相关的发行成本作为直接从债券本金中扣除。债务发行和发行成本被记录为债务贴现，按照可转换债务工具期限使用有效利率方法摊销为利息费用。

就第二批次而言，由于2022年5月23日（第二批次认股权证发行日期）普通股的收盘价格相对较高，第二批次认股权证的公允价值为$4,833,325 超过了净收益（有关认股权的会计处理详情请见下文）。$133,325 保险损失额度被确认，未分配剩余款项用于票据。截至2022年12月31日的财政年度，票据两个批次的总收益支持了K-27和K-28井的石油开采以及供运营资本等一般公司用途。

During the year ended December 31, 2022, $9,900,000 of the total $10,000,000 principal amount of the Notes has been converted into ordinary shares at $6.00 per share at L1 Capital’s election. On July 21, 2023, the Company repaid the remaining $100,000 principal amount of the Notes to L1 Capital in cash. As of June 30, 2024 and December 31, 2023, the carrying value balance of the convertible note was $0.

Accounting for warrants

The Warrants were issued in conjunction with the convertible note by a separate contract, and legally detachable and separately transferrable. The Warrants were exercisable via “cashless” exercise if there is not an effective registration statement covering resale of the ordinary share under the Warrants. The exercise price per ordinary share under the Warrants was $6.00 and subject to certain adjustments which do not meet the criteria for equity treatment in accordance with the guidance contained in ASC 815-40-15-7E. Accordingly at initial recognition, the Company classifies such warrants as liabilities at their fair value. This warrant liability is subject to re-measurement at each balance sheet date until exercised, and any change in fair value is recognized in the consolidated statements of operations.

The Company recognized $915,644 for warrant liabilities upon issuance of the Initial Warrant on January 24, 2022. The Company recognized $4,833,325 for warrant liabilities upon issuance of the Second Warrant on May 23, 2022.

The Company utilizes the Black-Scholes option-pricing model to estimate the fair value of the Warrants at each reporting period since the Warrants are not actively traded. The estimated fair value of the Warrant liabilities is determined using Level 3 inputs in accordance with ASC 820, “Fair Value Measurement”. Inherent in the Black-Scholes model are assumptions related to expected stock-price volatility, expected life, risk-free interest rate and dividend yield. The Company estimates the volatility of its ordinary shares based on historical volatility of its own stock price during the period that matches the expected remaining life of the Warrants. The risk-free interest rate is based on the U.S. Treasury zero-coupon yield curve on the grant date for a maturity similar to the expected remaining life of the Warrants. The expected life of the Warrants is assumed to be equivalent to their remaining contractual term. The dividend rate is based on the historical rate, which the Company anticipates remaining at zero.

During the year ended December 31, 2022, L1 Capital has exercised 325,000 of the Initial Warrant at $6.00 per share while the Company has received $1,950,000 proceeds from exercise of these warrants. During six months ended June 30, 2024, no warrant was exercised. As of June 30, 2024 and December 31, 2023, there were 442,240 warrants issued and outstanding.

NOTE 8 – OPERATING LEASES

The Company accounts for leases in accordance with ASC Topic 842, Leases (“ASC 842”). All contracts are evaluated to determine whether or not they represent a lease. A lease conveys the right to control the use of an identified asset for a period of time in exchange for consideration. The Company has operating leases primarily consisting of facilities with remaining lease terms of one year to three years. The lease term represents the period up to the early termination date unless it is reasonably certain that the Company will not exercise the early termination option.

Leases are classified as finance or operating in accordance with the guidance in ASC 842. The Company does not hold any finance leases as of June 30, 2024 and December 31, 2023.

The Company also has certain short-term leases related to equipment and tools. A short-term lease is a lease with a term of 12 months or less and does not include the option to purchase the underlying asset that the Company would expect to exercise. The Company has elected to adopt the short-term lease exemption in ASC 842 and as such has not recognized a “right of use” asset or lease liability for these short-term leases.

The Company’s lease agreements generally do not provide an implicit borrowing rate, therefore the incremental borrowing rate (“IBR”) on a collateralized basis for a similar term as the underlying lease was used at lease commencement date for purposes of determining the present value of lease payments. As of June 30, 2024, there was no update to an incremental borrowing rate at 10%, which was a 3-year tenure secured borrowing rate as quoted by a local bank.

NOTE 9 – TAXES

The current and deferred components of the income tax provision which are substantially attributable to the Company’s subsidiaries in Indonesia. Due to the unrecovered expenditures on the Company’s Kruh Block operations, there was no provision for income taxes for the six months ended June 30, 2024 and 2023, respectively.

The effective tax rate is based on expected income and statutory tax rates. For interim financial reporting, the Company estimates the annual tax rate based on projected taxable income for the full year and records an interim income tax provision in accordance with guidance on accounting for income taxes in an interim period. As the year progresses, the Company refines the estimates of the year’s taxable income as new information becomes available. The Company’s effective tax rates for the six months ended June 30, 2024 and 2023 were 0% and 0%, respectively.

The Company did not incur any interest and penalties related to potential underpaid income tax expenses.

NOTE 10 – SHARE BASED COMPENSATION EXPENSES

On January 30, 2024, the Company issued 60,000 of the Company’s restricted ordinary shares to Frank Ingriselli, the Company’s President, pursuant to his employment agreement with the Company, with 30,000 shares vesting on July 1, 2024 and 30,000 shares vesting on January 1, 2025. Such ordinary shares were valued at $2.70 per share, which was based on the closing price of the shares traded on the NYSE American exchange on January 30, 2024.

NOTE 11 – EQUITY

As of June 30, 2024 and December 31, 2023, there were 10,349,266 and 10,142,694 of ordinary shares, $0.00267 par value per share, issued and outstanding.

NOTE 12 – COMMITMENTS AND CONTINGENCIES

Litigation

From time to time, the Company may be subject to routine litigation, claims, or disputes in the ordinary course of business. Litigation or any other legal or administrative proceeding, regardless of the outcome, is likely to result in substantial cost and diversion of our resources, including our management’s time and attention. The Company defends itself vigorously in all such matters. In the opinion of management, no pending or known threatened claims, actions or proceedings against the Company are expected to have a material adverse effect on its financial position, results of operations or cash flows. However, the Company cannot predict with certainty the outcome or effect of any such litigation or investigatory matters or any other pending litigation or claims. There can be no assurance as to the ultimate outcome of any such lawsuits and investigations. The Company has no significant pending litigation as of June 30, 2024.

Commitments

As a requirement to acquire and maintain the operatorship of oil and gas blocks in Indonesia, the Company follows a work program and budget that includes firm capital commitments.

Currently, Kruh Block is operated under a KSO until May 2030, which was extended to 2035 in August 2023. The Company has material commitments related to its development and exploration activities in the Kruh Block and material commitments in regard to the exploration activity in the Citarum Block under a Production Sharing Contract with the Indonesian Special Task Force for Upstream Oil and Gas Business Activities (known as SKK Migas) (the “PSC”). The following table summarizes future commitments amounts on an undiscounted basis as of June 30, 2024 for all the planned expenditures to be carried out in Kruh Block and Citarum Block (this table takes into account the Company’s updated seismic and drilling plans for Kruh Block):

NOTE 13 – LIQUIDITY AND GOING CONCERN

The Company reported a net loss of $2,099,146 and net cash used in operating activities of $700,941 for the six months ended June 30, 2024. In addition, the Company had an accumulated deficit of $41,682,583 and working capital of $2,432,159 as of June 30, 2024. The Company’s operating results for future periods are subject to numerous uncertainties and it is uncertain if the Company will be able to reduce or eliminate its net losses and achieve profitability for the foreseeable future. These conditions raise substantial doubt about the Company’s ability to continue as a going concern.

The Company has financed the operations primarily through cash flow from operations, loans from banks, and proceeds from equity instrument financing, where necessary. On July 22, 2022, the Company entered into an At The Market Offering Agreement (the “ATM Agreement”) with H.C. Wainwright & Co., LLC (the “Sales Agent”), acting as its sales agent, pursuant to which the Company may offer and sell, from time to time, to or through the Sales Agent, ordinary shares having an aggregate gross offering price of up to $20,000,000. The ATM Agreement was amended on March 22, 2024 (“ATM Amendment No.1”), pursuant to which the Company may sell ordinary shares with an aggregate gross offering price of up to $9,600,000. The Company received net proceeds of $323,934 through issuance of ordinary shares by such ATM offering as of June 30, 2024. See Note 14 for information on additional funds raised via the ATM Agreement.

As of October 24, 2024, the Company had approximately $5.61 million of cash which is placed with financial institutions and is unrestricted as to withdrawal or use. Management’s plan for mitigating the conditions of substantial doubt about the Company’s ability to continue as a going concern includes a combination of improving operational efficiency, cost reductions, debt and equity. In June 2024, new 3D seismic exploratory operations at the Company’s 63,000 acre Kruh Block commenced. Importantly, the Company anticipates that the results of this seismic work will allow it to drill one new production well at Kruh Block in early 2025, with the remaining 13 wells to be drilled between 2025 and 2028, subject to the availability of funding necessary to conduct such activity. The Company currently does not have any outstanding short-term or long-term bank borrowings balance. Management expects that it will be able to obtain new bank loans based on past experience and the Company’s good credit history. The Company intends to meet its cash requirements for the 12 months following the date of the issuance of the condensed consolidated financial statements through operations and the foregoing potential funding opportunities.

The Company believes that the Company’s current cash and cash equivalents and anticipated cash flows from operating and financing activities will be sufficient to meet its anticipated working capital requirements and commitments for at least the next 12 months after the issuance of the Company’s unaudited condensed consolidated financial statements. The Company has prepared the condensed consolidated financial statements on a going concern basis. If the Company encounters unforeseen circumstances that place constraints on its capital resources, management will be required to take various measures to conserve liquidity. Management cannot provide any assurance that the Company will be able to raise additional capital if needed.

NOTE 14 – SUBSEQUENT EVENTS

The Company evaluated all events that occurred up to October 24, 2024 and determined that no events that would have required adjustment or disclosure in the condensed consolidated financial statements except the following.

On August 22, 2024, 60,000 restricted ordinary shares that were issued to Frank Ingriselli, the Company’s President, as compensation became unrestricted.

As of the date of these interim condensed financial statements, a total of 2,981,253 ordinary shares have been issued through ATM and the Company has received aggregate net proceeds of $7,794,843 from January to September 2024   through issuance of ordinary shares through the ATM offering. A significant majority of these ordinary shares were issued subsequent to June 30, 2024. As such, as of October 24, 2024, the Company has approximately $5.61 million in cash and cash equivalents.