b'STAATSOLIE MAATSCHAPPIJ SURINAME N.V.NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2018 (Continued)SECTION 5.CAPITAL AND DEBT STRUCTURE 5.1 ISSUED CAPITAL AND RESERVESTheauthorizedsharecapitalofStaatsolieasthe shares.TheearningspersharewereUS$20.06parentoftheGroupamountstoUS$12,104asat (2017:US$12.23).Duringtheyear,theauthorizedDecember31,2018andisdividedinto5million share capital remained unchanged. Issuedcapitalisasfollows:(X US$ 1,000) 2018 2017Ordinary share capital 5,000,000ordinaryshares 12,104 12,104Reserve for environment risk 5.2 CAPITAL MANAGEMENT Theenvironmentalriskreserveisareserve ForthepurposeoftheStaatsoliescapitaltaken against environmental risk claims based onmanagement,capitalincludesissuedcapitaldamages which may result from an environmentalandallotherequityreservesattributabletothedisaster in the execution of ocean freight cargoequityholders.Themainobjectiveofthecapitaldeliveries.Inaddition,damagestotheenvironment managementofStaatsolieistoensureafinancialdue to onshore well operations are alsostructurethatoptimizesthecostofcapital,appropriated for in this reserve. Based on historicalmaximizestheperformanceofitsshareholderinformationandexperience,theGroupbelieves andallowsaccesstofinancialmarketsatathatanannualadditionofUS$500,000issufficient, competitivecosttocoveritsfinancingneedsthatwhich is decided by the board of directors. supports sustainable growth and ensuring healthy capitalratiostobeincompliancewiththefinancialReserve for committee of sports facilities covenants to support the business.Asdecidedbytheshareholder,aportionofthe Inordertoachievethisoverallobjective,theprofitattributabletotheshareholderisretained Groupscapitalmanagement,amongstotherin a Sport Fund to support corporate socialthings,aimstoensurethatitmeetsthefinancialresponsibility in the area of sports. On behalfcovenantsattachedtoitsinterest-bearingloansofthesoleshareholder,theGoS,acommittee and borrowings that form part of its capital Sport Development Fund was established instructurerequirements.BreachesinthefinancialApril2013toconformtogovernanceprinciples. covenants would permit the lenders to immediately Thecommittee,composedofrepresentatives callinterest-bearingloansandborrowings.TherefromtheGoSandStaatsolie,providesguidelines havebeennobreachesinthefinancialcovenantsforsubmissionofproposals,approvesand ofanyinterest-bearingloansandborrowingsinthemonitorstheallocationoffunds.Everyyear,the current or prior period. shareholder decides how much to withdraw from this reserve. ThemainfinancialcovenantsmonitoredbytheGroupare:Other allocation / (withdrawal)TheinterestcoverageratiowhichiscalculatedbyIncluded in the other reserves as at DecemberdividingtheconsolidatedEBITDAbythefinancial31,2017isanamountofUS$13,520,netoftax, expensesandincome.For2018thisratiowaswhich is a credit to the Government of Suriname4.12(2017:4.60);theminimumpermittedis3.50.(GoS)foramountspreviouslyinvoicedby,andpaidto,SPCSforenergydelivered,butthat, ThePV10ratioandthePetroleumPV10ratioultimately,waslessthantheminimumenergy wereintroducedwiththerefinancinginMayoutput,asspecifiedinthePowerPurchase 2018.PV10meanstheNetPresentValueoftheAgreement (PPA) between GoS and SPCS. future net revenues and the calculated ratio for 2018was1.63;theminimumpermittedis1.30.107'