Company: TGE
Filing Date: 2025-07-03
Form Type: F-1/A
Source: 0001213900-25-061211
Chunk: 323

Company: Generation Essentials Group
Filing Date: 2025-07-03
Form: F-1/A
Chunk 323
---
 ready for
their intended use or sale, are added to the cost of those assets until such time as the assets are substantially ready for their intended
use or sale. All other borrowing costs are recognized in profit or loss in the period in which they are incurred.

| 3. | KEY SOURCE OF ESTIMATION UNCERTAINTY |

In the application of the Group’s accounting policies,
which are described in note 2.3, the Company is required to make judgments, estimates and assumptions about the carrying amounts of assets
and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience
and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an
on-going basis. Revisions to accounting estimates are recognized in the period in which the estimate is revised if the revision affects
only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

<div align='center'>F-67

THE GENERATION ESSENTIALS GROUP
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
F OR THE YEARS ENDED DECEMBER 31, 2022, 2023 AND 2024</div>

| 3. | KEY SOURCE OF ESTIMATION UNCERTAINTY (cont.) |

The following are the key assumptions concerning the future,
and other key sources of estimation uncertainty at the end of each reporting period that may have a significant risk of causing a material
adjustment to the carrying amounts of assets and liabilities within the next financial year.

Impairment assessment of intangible assets

Determining whether intangible assets are impaired requires
an estimation of the recoverable amount of the cash-generating unit to which intangible assets have been allocated, which is the higher
of the value in use or fair value less costs of disposal. The value in use calculation requires the Group to estimate the future cash
flows from the cash-generating unit and a suitable discount rate in order to calculate the present value. Where the actual future revenue
are less than expected, or change in facts and circumstances which results in downward revision of future cash flows or upward revision
of discount rate, a material impairment loss or further impairment loss may arise. Details of the impairment assessment of intangible
assets are disclosed in note 12.

Revaluation measurement of properties

As at the end of the reporting period, the Group’s properties
are stated at re