b'STAATSOLIE MAATSCHAPPIJ SURINAME N.V.REPORT ON THE AUDIT OF THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)Key audit matter How our audit addressed the key audit matterESTIMATION OF DECOMMISSIONING ANDOur audit procedures focused on the evaluation ENVIRONMENTAL PROVISIONSNOTESand assessment work of the Groups internal and 2.4 AND 4.9 TO THE CONSOLIDATEDexternal third-party specialists.FINANCIAL STATEMENTS In obtaining sufficient audit evidence, we:Provisions associated with decommissioningassessed the competence and objectivity of both and environmental restoration cost recognized by the Group are disclosed in Note 4.9 to thethe Groups internal and external specialists consolidated financial statements; a descriptioninvolved in the estimation process;of the accounting policy and key judgmentsassessed the reasonableness of of theand estimates is included in Note 2.4. The totalassumptions utilized by the specialists in the decommissioning and environmental provisionsdetermination of the provisions;reported as at 31 December 2021 was $88.3understood the Groups decommissioning and million (2020: $86.9 million).restoration estimation processes;The calculation of decommissioning andtested the consistency in the application of environmental provisions is conducted by specialist engineers and requires the use ofprinciples and assumptions to other areas significant judgment in the application of keyof the audit such as reserves estimation and assumptions in respect of asset lives, timing ofimpairment testing;restoration work being undertaken, environmentaltested the mathematical accuracy of the netlegislative requirements, the extent of restorationpresent value calculations and discount rate activities required and estimation of future costs.applied;Changes in these assumptions may result inreconciled the calculations to the financial report material changes to the decommissioning and environmental provisions recorded by the Groupprepared by internal and external specialists; and as a result is considered a key audit matter. andReviewed the adequacy of the disclosures in theconsolidated financial statements.Key audit matter How our audit addressed the key audit matterHYPERINFLATION ACCOUNTINGNOTEOur procedures focused on assessing the 2.3 K TO THE CONSOLIDATED FINANCIALcompleteness and robustness of the impact of the STATEMENTS hyperinflation on the 2021 and 2020 figures and included the following:The Group applied IAS 29 Financial Reporting in Hyperinflationary Economies in relation to theWe reviewed the Consumer Price Index (CPI) GoW2 subsidiary whose functional currency isused in the calculation of the hyperinflation the Surinamese Dollar. The application of IAS 29adjustments;resulted in a monetary loss (net) of $34 million at the end of the reporting period. We reviewed the classification of the assets and liabilities in the statement of financial position as The audit procedures related to the application ofeither monetary or non-monetary;IAS 29 Financial Reporting in Hyperinflationary Economies involved complex accountingWe reviewed managements calculation of concepts and resulted in material changes by thethe impact of the hyperinflation adjustments Group and as a result is considered a key auditrelating of the consolidated statement of profit matter. or loss and the consolidated statement of other comprehensive income, including the monetary loss, the statement of changes in equity and the non-monetary items in the consolidated statement of financial position;We reviewed managements calculation of therebased audited figures of 2020 for the monetary and non-monetary balances in the consolidated statement of financial position and consolidated statement of profit or loss.61'