Integrated Reports Senwesbel Consolidated Financial Statements 2018 - Page 42

17. DERIVATIVE FINANCIAL INSTRUMENTS GROUP NOTES 2018 R’m 2017 R’m; 21.5 53 128 17.1 CURRENT ASSETS Forward purchase contracts 17.2 CURRENT LIABILITIES 66 169 Forward purchase contracts; 21.5 56 165 Safex futures; 21.5 10 4 18. CAPITAL OBLIGATIONS AND CONTINGENT LIABILITIES 18.1 CONTINGENT LIABILITIES On 24 August 2017 the Competition Commission served an application on Senwes and Tradevantage to refer alleged contraventions of the consent order between the Competition Commission and Senwes issued by the Tribunal in 2013 to the Tribunal for prosecution with a request to levy an administrative penalty of 10% of Senwes’ turnover. Senwes denies any contraventions and is opposing the application. The matter is to proceed to trial which in all probability will be heard by the Tribunal in February 2019. 18.2 COMMITMENTS IN RESPECT OF CAPITAL PROJECTS GROUP 2018 R’m 2017 R’m 37 17 Authorised by the board but not yet contracted 149 25 Total future capital projects 186 42 Already contracted 18.3 OPERATING LEASES – MINIMUM LEASE PAYMENTS The group has certain non-cancellable operating lease obligations (fixed rental contracts) in respect of equipment and property with an average period of between three and five years. GROUP 2018 R’m 2017 R’m Within one year 2 2 More than one year and within five years 3 6 Operating lease obligations 5 8 The capital commitments and operating leases will be financed by net cash flow from operations and/or loans from financial institutions. 41 SENWESBEL ANNUAL FINANCIAL STATEMENTS 2018 Senwesbel Limited Reg no: 1996/017629/06