b'STAATSOLIE MAATSCHAPPIJ SURINAME N.V.NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019 (Continued)SECTION 8. The impact of COVID-19 virusOTHER Theoutbreakofthecoronavirus(COVID-19)hasincreasedinseverityworldwide.Asaresult8.1 EVENTS AFTER THE REPORTING PERIODofpublichealthconcern,asignificantamountofglobalcommercehasbeenaffectedduetotravelInvestment in Gold Mine restrictions,quarantines,andsimilarmeasures.InJune2019theGovernmentofSuriname WehavetakenstrictmeasurestosafeguardhasdecidedtotransfertoStaatsolietheir30% thewelfareandhealthofouremployeesandparticipation right in the Unincorporated JointcontractorsaswellasthesecurityofsupplyVenturewithIAMGOLDSsRosebelGoldMines to continue operations and continuation of the N.V.(RGM)inregardtothedevelopmentand TurnaroundwithmeasureslimitingexposureproductionofGoldfromthePikinSaramacca ofthoseinvolvedtothecoronavirus.Wemine.acknowledgethattherestrictionmeasurestakenworldwideandslow-downofglobaleconomydueInDecember2019Staatsolieagreedtoacquire tothevirushasresultedinreducedhydrocarbonthe30%participationinterestandwillnegotiatea demand and has been felt in the price of crude jointventureagreementthatbecomeseffectiveby oil. Currently it is not possible to properly estimate April 2020.theimpactofthecoronavirusonthefinancialperformance.WecontinuetomonitorthissituationTofinancetheaboveparticipationandtorefinance and its potential impact on our operations.theexistingbond,StaatsolieMaatschappij Decline of oil prices Suriname N.V. has initiated the process of issuing aUS$150millionbondinthefirstquarterof2020. BeginningMarch2020,OilpricesplummetedTransfer of Afobaka Hydropower dam nearly50%afterOPECtalkscollapsedandSaudiArabia announced slashed prices in an apparent AsatJanuary1,2020,theGovernmentof pricewarwithRussia.AnoilpricewarwillhaveSurinametransferredtheownershipand massivegeopoliticalconsequences,crushingmanagementoftheAfobakaHydropowerdam, marketsalreadyshakenbythenewcoronavirus,atnocostsandwithoutanyexistingorprevious COVID-19.IfmarketsstayattheselowerpricesliabilitytoStaatsolieMaatschappijSurinameNVs these could impact oil income for Staatsolie subsidiarySPCS. in2020.ComparedtootherOilExploration&ProductioncompaniesStaatsolieisinaratherSignificant oil find uniquepositionduetotheintegratedandlow-costnatureofStaatsoliesoilbusinesscombinedwithOnJanuary7,2020,theJointVenturebetween investmentsingoldandpowergenerationwhichApacheCorporationandTotalS.A.announcedthe createsadiversifiedrevenuebasethatmitigatesfirstsignificantoildiscoveryonBlock58offshore cashflowvolatilityacrossthecommoditypriceSuriname.Thesecondsignificantoildiscovery cycle,andresultsinafinancialresilience.alsoonBlock58wasannouncedonApril2,2020by the same Joint Venture.Exchange rateStaatsoliehastherighttoparticipateforupto20% Inthefirstmonthsof2020,theexchangeratesin the Joint Venture. of the US dollar and Euro on the parallel market deterioratedsignificantly.OnMarch21,2020anewlawwaspassedintheNationalAssembly,regulating foreign exchange transactions and the exchangerates.Foreignexchangetransactionsmust be conducted against exchange rates set and published by the Central Bank of Suriname. ThisnewlawwillnothaveanimpactonStaatsolie,as Staatsolie is already using the exchange rates as published by the Central Bank of Suriname for processing of payments and recording of transactions.134 STAATSOLIE 2019 ANNUAL REPORT'