annual report 201 3
t ower resources plc
5 charterhouse square 
london 
ec1m 6px 
t el 44 20 7253 6639
email towertowerresourcescouk
wwwtowerresourcescouk a transformational period
overview
high
extensive preparation for the 
drilling of the welwitschia1 
well offshore namibia with 
operator repsol 
in july 2013 completed a wellsupported 
placing £9 0m gross and open 
offer £10m gross at 1 125p per share 
strengthening the company balance 
sheet and broadening our institutional 
shareholder base
overview
a transformational period 1
at a glance 2
focused on africa 3
business review
chairman’s statement 4
chief executive officer’s report 5
operational report 6
strategic report 8
new ventures 1 1
tower resources team 13
directors’ report  
directors’ biographies 14
directors’ report 16
financial statements
independent auditors’ report 20
consolidated statement of  
comprehensive income 21
consolidated and company statements  
of changes in equity  22 
consolidated statement of financial position 23
company statement of financial position 24
consolidated statement of cash flows 25
company statement of cash flows 26
notes to the financial statements 27
additional information
shareholder information  41
front cover rowan renaissance drillship
entered into a strategic alliance  
with p df  limited a bespoke 
geoscience group to 
provide an outsourc ed 
ex ploration department 
oex d
tm
 with access to a 
multidisciplinary team of 
geoscientists and state of the 
art software and technology
in october 2013 completed the 
acquisition of wilton petroleum 
limited the transaction was 
equivalent to a cash equity issue at 
18p per share and initiated our new 
ventures activity in madagasc ar 
£10m
strength ened inhouse  
new business capabilities with senior 
appointments of nigel quinton 
head of exploration and andrew 
matharu vp – corporate affairs 
annual report 2013  41 t ower resources plc
financ ial
statements
additional information
sh areho lder information
direc tors sec retary and advisors 
directors 
jeremy asher  
chairman
graeme thomson
chief executive officer
  
peter blakey
nonexecutive director
philip swatman
senior independent nonexecutive director 
peter taylor
nonexecutive director
c ompany secretary
ben h arber
c ompany number
05305345
registered office
one america square
crosswall 
london ec3n 2sg
nominated adviser and brokers
peel h unt llp
moor house 
120 london wall
london ec2y 5et 
joint broker 
gmp securities europe llp 
first floor  stratton house 
5 stratton street 
london w1j 8la
solicitors  
watson farley  williams llp
15 appold street
london ec2y 2hb
group auditors 
uhy h acker young llp
4 thomas more square
london e1w 1yw 
registrars 
c apita irg
bourne house
34 beckenham road 
beckenham 
kent br3 4tu
bankers 
barclays bank plc
level 27
one churchill place
london e14 5hp
design jacksonbonecouk printed in england by synergygroupukcom overview
preferred bidder 
status in cam eroon 
licensing round and 
currently negotiating 
psc terms for the 
offshore dissoni block
496 million boe
lights
in july 2013 updated compete nt per sons 
report cpr published by oilfield international – 
increased probability of discovering light oil relative 
to gas following the results of the wingat 1 well 
risked net prospective resource estimate rose from 
458 to 496 mmboe net to t ower
£193m
ra ised £193 m ill ion gross 
us320 million gross by way 
of an institutional placing with 
existing and new investors at 
a price of 35 pence per share 
farmout process terminated in 
favour of less dilutive equity raise
acquisition of rift petroleum 
holdings limited in exchange for 
the issuance of 550 million ordinary 
shares in tower resources brings 
exploration interests offshore 
south a f rica and onshore 
zamb ia
5 million cash  share farmin to 15 
of block 2b kenya  alongside t aipan 
resources and premier oil drilling 
expected end 2014 targeting gross 
prospective resources of 251 mmboe
rowan r ena issan ce 
drillsh ip on location to 
spud welwitschia1
annual report 2013  1 t ower resources plc
rift
petroleum
wwwtowerresourcescouk
aim trp 2  annual report 2013 t ower resources plc
at a glan ce
overview
us44m us 250m 2 f irm wells
cash position 22 april 2014 
including placing monies
market capitalisation  
22 april 2014
in 2014 fully funded
tower aims to
  build a portfolio of highpotential exploration licences with a sizeable 
interest that give it the flexibility to farmout and to retain material 
exposure to success 
  expand its exposure to near term drilling which offers the potential to 
materially addvalue for shareholders 
 have the capacity to operate 
 balance risk and potential reward through diversification of its portfolio
 
tower resources plc is a l ondonbased independent oil and gas 
exploration company with a regional focus on subsaharan a frica and  
has been listed on the london s tock exchange a im since 2005 
a nticipated activity overview
f ocus ed on af rica
a
f
b
g
c
h
d
i
e
south af rica
offshore
2014 acquisition
nonoperated
sad r
1 onshore 
2 offshore
nonoperated
kenya
onshore
2014 block 2b farmin
nonoperated
ethio pia
applications
operated
n am ibia
offshore
pel0010
nonoperated
zamb ia
onshore
2014 licence acquisition
operated
cam eroon
offshore
in negotiations
operated
uganda
east africa 
regional office
mada gas car
onshore
discussions and 
negotiations ongoing –
awaiting new government 
formation
annual report 2013  3 t ower resources plc
del iverin g a h igh i mpa ct af rican e xpl orer
2013 a ssets
2014 new ventures
g
d
i
f
h
c
a
b
e 4  annual report 2013 t ower resources plc
cha irman ’s stat ement
bus in ess 
review
review
2013 and the first few months of 2014 have been busy and 
rewarding for our company a t this time last year  we had laid 
the foundations for revitalising the company by recruiting a 
new management team led by graeme thomson and we 
had increased our share in the n amibian licence 0010 to 30 
as part of a rcadia’s farmout process and which also brought 
repsol aboard as operator 
we knew that this would require raising further funds for our 
drilling commitment whether by farming out ourselves later or 
issuing further equity and we also wanted to build a pipeline 
of new opportunities to build further value for shareholders 
especially in the event of disappointment in namibia graeme 
brought nigel quinton and andy matharu onto the team in early 
2013 and we subsequently supplemented their efforts with an 
exclusive arrangement to use the pdf geoscience group to 
support our business development work
 
as the year progressed we found ourselves in a difficult 
environment for fundraising which was not helped by the results 
of hrt’s and chariot’s drilling programmes to the south of us 
in namibia although hrt’s wells encountered mature source 
rocks and chariot obtained useful information on reservoir sands 
neither made a commercial discovery the reasons for this had 
no bearing on the quality of our own prospects but sentiment 
regarding namibia was affected in an already poor funding 
market and we were obliged to raise some funds during the 
summer at a very low price of 1 1 25p per share we were keen to 
ensure that shareholders who preferred to stump up cash rather 
than being diluted had the opportunity to do so which is why we 
combined the placing with an open offer so that no shareholder 
would be denied the opportunity to participate achieving a 
successful placing in those circumstances was already a credit 
to the team and we began looking for a farmout partner for 
namibia in order to avoid issuing further equity at such prices
 
during the second half of the year we began to get traction 
on a range of new ventures after reviewing more than eighty 
distinct opportunities we were the preferred bidder in a tender 
in cameroon for a block whose work programme we are now 
negotiating and our acquisition of wilton petroleum brought 
us an entry point to madagascar we also looked at various 
kenyan opportunities settling on the block 2b opportunity with 
taipan as our share price improved around the yearend we 
also began to reconsider the relative merits of a farmout or 
equity funding but we decided that shareholder interests were 
best served by keeping our options open as long as possible 
we also began to explore the opportunity to acquire the rift 
assets in south africa and zambia in the end both the placing of 
shares at 35p to raise 32 million and the rift acquisition came 
together in march and april 2014 after the yearend and this 
also allowed us to go forward with the kenya 2b farmin so we 
have had an extraordinary few months after the yearend but 
the transactions we have completed are the result of a lot of hard 
work in 2013 as well 
a busy y ear 
st rat egy
our strategy remains unchanged to identify highimpact 
exploration opportunities and exploit them for our 
shareholders before their value is fully realised in the wider 
market i believe we have demonstrated during the past 
year that plenty of such opportunities exist in addition to the 
excellent opportunities that we are currently exploring with 
repsol on license 0010
goin g f orwa rd
it is obvious that a huge amount depends on the outcome 
of the welwitschia1 well that is starting to be drilled as this 
report is released if the well is successful then we will face 
a number of choices regarding how best to move forward 
both with the welwitschia structure and the other prospects 
on the licence if the well is not successful then we may face 
even more choices depending on what exactly the well 
reveals whatever we find you may rest assured that we will 
apply our usual principles of analysis and value to achieve 
the best outcome we can for shareholders and whatever 
we find i remain excited about the future for tower with the 
management team and portfolio of assets that our company 
now enjoys
jeremy a sher
chairman
22 april 2014 bus in ess
review
chief executive off icer’s report
annual report 2013  5 t ower resources plc
tower is entering a very exciting period the result of a huge 
amount of work by our dedicated team
l ast year we set out several aims 
•  ensuring our namibian well was funded and ready  
to be drilled
•  adding additional nearterm highpotential drilling 
upside
•  expanding our early stage exploration portfolio 
as set out in this annual report we have achieved these aims 
through two fund raises in some of the most difficult markets 
i have experienced and completed the purchases of wilton 
petroleum and rift petroleum principally for shares as well 
as securing the conditional farmin to block 2b onshore kenya 
and potential entries into cameroon and madagascar we 
have other new ventures in the pipeline too the company’s 
strategy is demonstrably being implemented and it will 
continue unchanged 
there has been a stepchange in activity we are about to 
spud the welwitschia1 well offshore namibia testing the first 
of three huge structures on licence 0010 to be followed by a 
potential play opening well onshore on block 2b kenya later in 
the year as such we have one of the most exciting nearterm 
drilling campaigns of any uk listed company 
we have also assembled a highimpact diverse panafrican 
exploration portfolio with a range of valuecreating activity and 
milestones identified over the midterm each of our assets has 
to have the individual potential to deliver substantial upside for 
our investors the activities and newsflow of other companies 
in our portfolio areas should also help to derisk our assets 
and potentially add to our considerable upside we intend to 
continue to build out our portfolio selectively leveraging the 
strength of our team and sustaining our present momentum
h igh qual ity t eam built
of course these developments have required the assembly 
of a multidisciplinary team cost–effective and dedicated 
our team is highly experienced in developing highpotential 
exploration portfolios and in evaluating and managing assets 
this can be seen in the speed with which tower’s portfolio has 
been expanded 
a tremendous amount of work goes “sight unseen” the 
sourcing evaluation and filtering of the over 80 opportunities 
seen in the last 15 months takes an enormous amount of time 
and the attractive opportunities often end with no deal and 
leave no external footprint the development of our portfolio 
has been rather intermittent in reporting terms but the work 
that underpins it has been relentless while this might be 
frustrating at times for shareholders you can see that the hard 
work and stringent quality criteria that we apply has paid off 
for tower with the rapid transformation from a single near
term asset into a diversified highquality funded portfolio  
st ra t egy being d el ivered
this has only been possible with great teamwork i wish to 
thank the board our advisers our management and staff 
our consultants and our shareholders for their enthusiasm 
support dedication and vision
th e futu re 2 f irm wells   
busy pan af rican portf ol io
we have an exciting year ahead  our acreage is some of the 
most prospective in africa the anticipated activity schedule 
on page 2 shows how busy we will be with our existing 
assets and this annual report sets out these activities and 
assets in further detail we have assembled a diversified 
asset portfolio in highly prospective hydrocarbon regions 
and at various stages of development which should deliver 
numerous operational milestones in the coming months and 
years we intend to continue this portfolio development and 
diversification 
our focus will remain on africa where some of the largest 
discoveries have been made in recent years although it is a 
competitive region there are great opportunities for nimble 
and entrepreneurial companies like tower while we all 
recognise the risks in our industry the upside on success can 
be transformational and we have the necessary ingredients to 
succeed
graeme t homson
chief executive officer
22 april 2014 6  annual report 2013 t ower resources plc
operational report
bus in ess 
review
rowan renaissance drillship undergoing sea trials
tower resources’ namibian acreage position with key exploration  
wells and licence activity 
 welwitschia prospect play summary 
namib ia
tower retains a 30 interest in repsoloperated l icence 
0010 blocks 1910a 1911 and 2011a located in the 
underexplored walvis basin offshore namibia the 
licence was originally awarded 100 to tower’s subsidiary 
n eptune petroleum n amibia in 2005 the drilling of the 
welwitchia1 well offshore namibia which is expected 
to commence shortly promises to be one of the highest 
impact exploration wells globally and preparations have 
been gathering momentum throughout 201314 between 
the jointventure partners to ensure the well is drilled in 
a cost effective manner with paramount importance for 
safety and the environment 
the rowan renaissance a dual stack 6th generation new 
build drillship left the ulsan shipyard in south korea in january 
2014 enroute to walvis bay namibia to drill its first well the 
welwitschia1 on pel0010 namibia the rowan renaissance 
arrived at the wellsite location in midmarch 201 4 and has been 
undergoing acceptance tests by repsol who are taking the rig 
on a three year contract throughout 201314 the operations 
yard at walvis bay has been prepared for the warehousing 
storage and transportation of equipment and materials 
required for the drilling operation 
the level of exploration activitity offshore namibia has increased 
markedly during the past 12 months with several new entrants 
acquiring licence positions the key events of 2013 were the 
drilling of the wingat1 and murombe1 wells drilled by hrt 
participaço ˜es em petróleo sa in may 2013 and july 2013 not 
only did wingat1 recover samples of 3842 degree api oil 
the first time that liquid hydrocarbons have been recovered 
offshore namibia but both wells drilled through thick mature 
source rocks in the albian section importantly the recovery 
of oil from the wingat1 well has increased the probability 
of oil versus gas in welwitschia1 and this was reflected in 
our updated competent persons report cpr compiled by 
oilfield international in july 2013 
subsequently tullow’s septemeber 2013 farmin to 
pancontinental’s llicence pel37 to the southeast of pel0010 
in the walvis basin and subsequent shooting of a 3d seismic 
survey demonstrates the industry vew that a commercial oil 
discovery is now a question of “when” as opposed to “if”  
the walvis basin is remarkably underexplored with just six 
exploration wells drilled to date in an area that is larger than 
the central graben of the uk north sea 
the welwtischia1 well will target multiple reservoirs within 
a simple structural closure these prospects which extend 
from primary targets in the maastrichtian and palaeocene 
to secondary targets in the albian carbonate sequences are 
situated on a regional high and are therefore the focus for 
migration and charge from the proven source rocks within the 
walvis basin to the south and the dolphin graben to the east 
  bus in ess
review
annual report 2013  7 t ower resources plc
walvis basin uk north sea central graben and 
pel0010 areal comparison 
mapped prospectivity on licence 0010
the welwitschia1 prospect is targeting net risked recoverable 
resources of 496 mmboe to t ower’s 30 interest based on the 
updated cpr – july 2013 and will intersect up to five separate 
reservoir targets ranging from the palaeocenemaastrichtian 
to the albian carbonate sequence to a proposed total depth 
td of 3000m tvdss total vertical depth subsea with the 
maastrichtian reservoir having an economic chance of success 
ecos of 314 
the follow up potential on licence 0010 on completion of 
welwitschia1 is significant with additional leads mapped 
alpha and gamma bringing the total prospective unrisked 
resources on the licence to more than 13 billion boe
updated cpr by oilfield international in july 2013  
licence 0010 best estimate of prospective resources 
 gross net  
 unrisked unrisked  net risk 
horizon mmboe mmboe ecos mmboe
maastrichtian 2357 672 314 211
palaeocene 3564 1016 187 190
upper campanian 463 132 87 11
campanian wedge 1215 346 93 32
albian 2277 649 80 52
total welwitschia 9875 2814  496
gamma palaeocene 2408 686 93 64
alpha palaeocene 789 225 118 27
total pel 0010 13073 3726  587
 aggregated case based on combined fluid probabilities of volatile oil  
gas condensate and dry gas cases  
source oilfield international updated cpr june 2013
west ern s aha ra  
“saharawi a rab democratic republic” – sad r 
through its wholly owned subsidiary comet petroleum 
tower resources holds a 50 interest in the offshore 
guelta and imlili and onshore bojador blocks in the 
s aharawi a rab d emocratic republic sad r both of which 
are operated by wessex exploration plc 50 
the sadr is the democratically elected government of the 
territory known as western sahara which lies to the south 
of morocco and is recognised by the united nations as a 
nonselfgoverning territory the sovereignty of the territory 
remains in dispute and until this is resolved there is little that 
can be done to advance exploration of these blocks the cost 
of retaining them is also minimal if the sovereignty of the 
territory is resolved in due course then these will be attractive 
and prospective blocks 
exploration activity in licences granted by morocco within 
the territory has increased recently with kosmos energy due 
to drill the gargaa1 prospect in the offshore boujdour block 
in 2014 and total having acquired 6000 km² 3d seismic in 
anzarane block in 2013 8  annual report 2013 t ower resources plc
st rat egic report
bus in ess 
review
tower’s interests in southern africa
as previously announced in august 2013 the company 
undertook and made significant progress seeking a farm
out partner for a 10 working interest in namibia pel0010 
which would have reduced the company’s overall interest 
in the namibian license by a third a number of parties 
conducted a full review of the dataroom and strong interest 
from several of those parties was shown in considering a 
farmout of part of its interest the directors were seeking 
to maximise the value of this core namibian asset balancing 
the cost of direct dilution of its interest via a farmout against 
the potential impact to shareholders of dilution if the interest 
were financed via a share placing in december as a result of 
the recovery in tower’s share price it became increasingly 
clear to the board that an equity financing had become a less 
dilutive alternative to existing holders than a farmdown of 
their working interest in namibia as well as creating funding 
options for further carefully selected asset acquisitions 
equity financing also enables tower to fund its share of the 
remaining approved firm well costs for welwitschia1 and any 
further licence activity assuming continuation into a second 
renewal phase while retaining the 30 per cent working 
interest in the licence which the company believes is more 
valuable pro rata than a smaller share for these reasons 
while maintaining the farmout process the company began 
preparing for an equitybased financing alternative and also 
accelerated its search for additional assets
as previously outlined one of the board’s key strategic 
objectives is to diversify the company’s portfolio outside 
of the namibian asset via its new ventures efforts the 
geographic focus of the new ventures team has been on 
coastal basins of africa and the various east african rift 
systems two types of opportunity have been prioritised
•  significant equity 50100 in early stage acreage in 
relatively underexplored regions and
• smaller interests 1025 in drillready opportunities
the april 2014 announcements of the acquisition of rift 
petroleum and farmin to block 2b onshore kenya meet 
both objectives
t he placing and open offer announced in july 2013 which 
raised £100 million gross 153 million the acquisition 
of wilton petroleum l imited together with the april 2014 
placing to raise £193 million us 320 million the allshare 
purchase of rift petroleum and the conditional farmin to 
block 2b kenya all demonstrate tower’s ability to identify 
analyse negotiate and execute high quality acquisitions 
as part of this strategy the acquisition of rift petroleum 
provides a large interest in an exciting new exploration 
province with farmdown opportunities t he farmin to block 
2b kenya gives the company further a frican diversification 
and exposure to a potential play opening well later this year 
and the recent placing allows the company to maintain its 
interests in n amibia with minimum dilution to shareholders 
and to fund the diverse and various additional opportunities 
that now present themselves
the resulting portfolio from the above acquisitions coupled 
with our existing acreage positions in namibia and western 
sahara and other new venture opportunities provide 
shareholders with a diverse panafrican portfolio your board 
is confident that this portfolio will generate a plethora of 
material activity and associated newsflow over the coming 
months and years including two high impact wells by the 
end of 2014 
t he board’s strategy is to realise the potential of the core namibian 
licence whilst continuing to capitalise on the growing a frican portfolio  
of high upside interests  bus in ess
review
annual report 2013  9 t ower resources plc
fi nanci al r eport and 201 4 devel opments
the group’s loss for the year ended 31 december 2013 
narrowed to 33 million 2012 117 million including a 
gain on acquisition of a subsidiary of 05 million relating to 
the purchase of wilton petroleum limited cash balances 
at 31 december 2013 amounted to 175 million 2012 45 
million at 22 april 2014 cash balances were approximately 
44 million
on 25 july 2013 the company announced a placing to raise 
£90 million gross us139 million gross and an open offer 
which raised £10m 14m at 1 125p per share the proceeds 
of the placing and the open offer were to be used to fund 
the company’s share of the 2013 costs associated with the 
welwitschia1 well in namibia to pay the cash consideration 
payable in respect of the acquisition of wilton petroleum 
limited for general working capital purposes and to enhance 
the company’s ability to pursue its new ventures strategy 
on 24 january 2014 tower also announced that it has raised 
a £082 million gross 13 million at an average issue price 
of 42p per share via a modest drawdown on its equity 
financing facility eff with darwin strategic limited this 
limited equity issue was undertaken with a strict floor price 
in place in order to provide further shares to the market on 
days of shortage during the first three weeks of january
 
on 9 april 2014 the company announced that it had placed 
550000000 new ordinary shares in the capital of the 
company at a price of 35p per share to raise gross proceeds 
of £193 million us320 million by means of a placing and 
subscription with institutional and other investors 
the placing has provided the requisite funds to successfully 
execute the acquisition of rift petroleum group more fully 
described later and the farmin to a 15 working interest in 
the drillready block 2b kenya
the acquisition of rift was completed on 14 april 2014 via an all 
share transaction at the same time as the placing the vendor 
contributed us74 million in cash to rift petroleum prior to 
completion to fund the acquisition and processing of the 2014 
3d seismic acquisition programme on the algoagamtoos 
licence offshore south africa approximately us20 million of 
the funds raised in the placing will be used to finance other 
2014h1 2015 licence activity in south africa and zambia 
the company has also agreed to farmin to block 2b onshore 
kenya with taipan resources for a 15 working interest the 
farmin will be funded through the proceeds of the placing and 
includes approximately 50 million in respect of back costs 
and 2014 seismic costs as well as a projected us30 million in 
well costs relating to the badada1 well anticipated to spud in 
q4 2014 the farmin is conditional on consent from premier 
oil who hold a 55 equity interest in block 2b 
tower wellplaced in areas targetted by oil majors offshore south africa 10  annual report 2013 t ower resources plc
st rat egic report – cont inue d
bus in ess 
review
f a rmin t o bl ock 2b kenya
on 9 april 2014 tower resources kenya limited a wholly 
owned subsidiary of tower resources conditionally acquired 
a 15 interest in block 2b kenya from lion petroleum 
corporation a wholly owned subsidiary of taipan resources 
on completion taipan resources will hold a 30 interest and 
is the operator of the licence the remainder of the licence 
is held by premier oil which farmed in for a 55 interest in 
december 2013 the farmin is conditional on consent from 
premier oil
in consideration for the farmin tower resources will pay 
taipan resources us45 million in cash 9 million tower 
resources shares and a contingent payment of us10 million 
on spud of a second well half of the share consideration will 
be issued to taipan on completion of the farmin with half to 
be issued three months’ thereafter 
taipan resources announced a 51101 compliant independent 
assessment of block 2b completed by sproule international 
limited in february 2014 the total estimated mean gross 
unrisked prospective resources based on 19 exploration leads 
on block 2b was reported as 1593mmboe an increase of 388 
per cent on the earlier estimated figure of 410mmboe taipan 
also recently completed an additional 196 km 2d seismic which 
confirmed robust closure at the prospect taipan’s seismic 
database over block 2b totals almost 2500 line km including 
400 km survey acquired in early 2013 and c1850 km vintage 
data the new data will be used to identify the drilling location 
for the badada1 prospect that is planned to be drilled during 
q4 2014 
the farmin provides tower with a potential playopener well 
with the chance to proveup an analogue to the successful 
drilling of tullow and africa oil in the lokichar basin in the west 
of kenya
 
acq uisit ion o f r ift pe t rol eum
on 9 april 2014 tower entered into a share purchase 
agreement to acquire the entire issued share capital of 
rift petroleum in exchange for 550 million tower shares 
a consideration at the placing price of c32 million rift 
petroleum is a private exploration company focused on the 
emerging offshore south african region with additional 
licences located onshore zambia 
the acquisition gives tower resources exposure to a 50 
interest in two south african offshore areas a number of 
oil majors have recently acquired acreage in the region 
including exxon total anadarko and shell paying entry 
premiums in the hundreds of millions of dollars 
rift petroleum’s primary asset its 50 interest in the algoa
gamtoos licence alongside new age energy algoa pty ltd 
covers seven blocks and 11809 km² it is located between 
two licence areas that have recently been farmed into by 
exxon and total the algoagamtoos licence consists of 
three prospective basins algoa to the east gamtoos to the 
west and the outeniqua deepwater basin 
new 3d seismic in the algoa canyon play is expected to be 
available during early q3 2014 whilst mapping of 2013 2d 
seismic is ongoing across the gamtoos and deepwater plays 
a formal farmout process in respect of the algoagamtoos 
licence will resume once the 3d seismic has been interpreted
rift petroleum also has rights subject to various conditions 
to acquire a 50 interest in any exploration right granted 
to new african global energy sa pty ltd pursuant to an 
application it is making under a t echnical cooperation permit 
tcp over the sw orange basin area covering three blocks 
and 21500 km² 
rift petroleum has also been awarded an 80 interest in two 
blocks block 40 and 41 onshore zambia in the most recent 
2013 licencing round these blocks are operated by tower 
they offer a lowcost entry into a very underexplored basin 
a farmout process is expected from late 2014
prior to the acquisition by tower the vendor and its majority 
shareholder contributed us7 4 million in cash to the company 
50 of the consideration shares issued for rift petroleum are 
subject to a hard lockin for a period of twelve months with the 
remaining 50 subject to orderly market provisions
as a result of the acquisition of rift petroleum the directors 
believe the enlarged company will be the only aimlisted oil and 
gas company with a significant focus on offshore south africa bus in ess
review
n ew ventu res
annual report 2013 11 t ower resources plc
portfolio diversification outside n amibia has been a key 
strategic objective of management during the latter part 
of 2013 a material level of time and resources has been 
dedicated to expanding our interests within africa our 
efforts are starting to yield results with the april 2014 
announcement of the acquisition of interests offshore 
south a frica and onshore kenya and zambia in addition 
licence negotiations in cameroon and madagascar as 
well as several other opportunities remain ongoing 
key to our ability to screen new opportunities is our strategic 
alliance with pdf limited the geoscience group based in 
oxfordshire the multidisciplinary team have a successful 
track record of new ventures with a specific knowledge depth 
of africa where we are looking to acquire and manage both 
significant equity positions in early stage acreage in relatively 
underexplored regions and smaller interests via the farmin 
route in drillready opportunities 
cam eroon 
tower resources is in advanced negotiations with the 
government of cameroon having submitted the preferred 
bid for 100 of the shallow water dissoni block 119 km² in 
the most recent licensing round
the dissoni block is located in the rio del rey basin offshore 
cameroon and is the eastern extension of the niger delta 
basin we hope that the current round of negotiations will result 
in the award of a new psc and we then expect operations to 
commence later this year with a 3d seismic survey intended for 
2015
located in a mature area close to producing fields and adjacent 
to the recent glencore operated oak discovery which extends 
the play fairway  there is also deep gas condensate potential we 
believe that the dissoni block is a good opportunity to secure 
an entry into a mature area on competitive terms with low risk 
low volume targets and with significant exploration upside
mada gas car
on 1 october 2013 the company announced the  
completion of the acquisition of privately owned wilton 
petroleum l imited for a combination of us 175 million 
cash and 120 million ordinary shares in tower
 
wilton petroleum’s sole asset was a 20 carried interest in 
marovoay block2102 onshore madagascar in the majunga 
basin which was operated by ophir energy plc through its 
subsidiary ophir madagascar limited ophir 80 block2102 
covers an area of 8444 km
2
 and possesses prospectivity across 
multiple play types within the jurassic and cretaceous age 
sequences the first exploration well in block2102 was due to 
be drilled by mid2014 targeting the anjohibe prospect with 
mean prospective resources of c 90mmbbls of light oil in 
jurassic and cretaceous plays source ophir energy placing 
and rights issue prospectus march 2013
however on 23 september 2013 ophir announced that it had 
notified omnis office des mines nationales et des industries 
stratégiques in madagascar of its intention to relinquish the 
interest in and operatorship of block 2 1 02 in order to concentrate 
on its core material assets in order to compensate wilton inter 
alia for the loss of its carry in the well of up to us40 million and 
its interest in block2102 a settlement agreement was executed 
by the parties under the terms of which wilton received us60 
million in cash from ophir tower then proceeded to complete 
the acquisition of wilton which was equivalent to t ower issuing 
46 of its enlarged issued share capital at 18p per share
the company hopes to resume negotiations for a new licence 
over block 2102 in the morovoay area in the majunga basin 
in north west madagascar following the formation of a new 
government which is expected to occur shortly following 
presidential elections held in december 2013 tower has 
already established important relations with the local industry 
and regulatory bodies in readiness for commencement of 
exploration work programmes assuming negotiations are 
completed successfully the block has multiple prospectivity 
in the jurassic and cretaceous sequences although additional 
data may be required to locate an exploration well  12  annual report 2013 t ower resources plc
n ew ventu res – conti nu ed and expl oration credenti als
bus in ess 
review
zamb ia
through the acquisition of rift petroleum in april 2014 tower 
has an 80 interest in two onshore blocks in zambia blocks 40 
and 41 covering a gross area 6946 km
2

the blocks form part of a frontier rift basin adjacent to the east 
africa rift basins system and are at an early stage of exploration 
with few immediate commitments 
eth iopia
rift petroleum ethiopia limited has been invited to negotiate 
for two blocks ab3 and ab6 in a frontier basin in ethiopia and 
has submitted a geological work programme in support of its 
application 
there has been an increasing level of licensing  exploration 
activity in ethiopia including the el kuran3 oil  gas discovery 
made late 2013 gclpoly was awarded 8 exploration licences 
plus the calub  hilala gas fields in 2013 tullow are scheduled 
to drill in the chew bahir basin in 2014 
 
uganda 
tower 100 operated in uganda from 2005 to 2012 drilling 
three exploration wells in block ea5 there have been major 
oil discoveries in the country and first production licences have 
recently been awarded the company still maintains a small 
regional office in kampala currently providing support for new 
venture activity assuming the right conditions t ower would be 
interested in participating in a new licensing round in uganda 
expl oration credenti als 
t ower’s technical capability is leveraged via its outsourced 
exploration department oexd™ a strategic alliance 
with the geoscience group pdf l imited consisting of 
a team of approximately fifteen seasoned geoscientists 
experienced in international exploration projects this 
multidisciplinary team has a successful track record in 
new ventures exploration and d evelopment work across 
the world especially in the analysis of areas with difficult 
data quality and structural and stratigraphic complexity
pdf limited has specific expertise in the fields of seismic 
mapping structural geology sequence stratigraphy not
sedimentology field geology and thermal maturitycharge 
modelling technically the team strongly favours utilising 
modern exploration methodologies using a coordinated play 
fairway approach designed to characterise play elements 
and focus on managing exploration risk by identification of 
specific risks in each play element and targeting technical 
work to minimise those risk elements
senior members of the team have a successful track record 
of working with and developing cooperation between 
partners and national oil companies and have broad 
and diverse experience but also have specific depth of 
experience in africa central and eastern europe western 
europe and the indian subcontinent the exploration 
team has the capability and reach to provide a full range of 
exploration geoscience expertise using the use of leading 
edge software such as the full paradigm
®
 suite which is a 
market leader in interpretation software
risk fa ct ors fa cin g th e company
a detailed analysis of the risk factors associated with the 
company are set out in the press release dated 9 april 2014 
a copy of which is on the company website bus in ess
review
tower resources t eam
annual report 2013  13 t ower resources plc
2 a ndrew matharu beng h ons phd 
ceng micheme mei  
vice president corporate a ffairs
andrew matharu aged 44 joined 
tower on 11 march 2013 from 
westhouse securities limited where 
he was head of oil  gas and focussed 
on the small and midcap ep sector 
he has over 18 years’ experience in the 
oil and gas sector and commenced his 
career as a petroleum engineer with 
chevron and kerrmcgee andrew 
has extensive experience of advising 
oil  gas companies in the area of 
equity capital markets following a 
variety of corporate finance and equity 
research roles at cazenove bridgewell 
securities numis securities and pwc 
andrew holds a beng degree in 
chemical engineering from university 
of sheffield a phd in chemical 
engineering from the university 
of cambridge and is a chartered 
engineer
3 rashid mugabe bsc ms c 
regional manager 
rashid mugabe aged 35 joined 
tower in july 2007 from omudima 
services limited and oshfa limited 
consulting firms in health safety and 
environment hse in uganda rashid 
had been involved in hse consulting 
assignments for the early oil and gas 
projects in uganda’s albertine graben 
and other sectors he has over 11 
years’ experience in the oil and gas 
sector and commenced his career 
as an environmentalist and cleaner 
production practitioner rashid has 
great experience in upstream oil  
gas business management particularly 
in hse project management and 
stakeholder management he holds a 
bachelor’s degree in natural resources 
from makerere university in uganda 
and a master’s degree in safety and 
risk management from heriotwatt 
university uk
4 brian brittney 
f inance manager
5 deborah smith 
office manager
 
1 n igel quinton ba  ma  f gs 
head of exploration 
nigel quinton aged 52 is a 
geoscientist with over 30 years’ 
experience in international exploration 
and production with bp  dragon oil 
and hardy oil  gas nigel was a 
cofounder of sterling energy plc and 
served as managing director from 
startup in 2000 until its listing on 
aim in 2002 and then as operations 
and technical director building a 
portfolio of producing properties 
in the gulf of mexico and then an 
extensive exploration portfolio in 
africa he left at the end of 2004 to 
become a freelance consultant and to 
pursue a career in politics standing as 
a candidate in the 2010 uk general 
election more recently he served as 
senior advisor to the board of the 
hashoo group of companies which 
includes businesses in pakistan usa 
and kazakhstan sourcing new venture 
opportunities in north and east africa 
nigel holds a ba and ma in geological 
sciences from the university of 
cambridge and is a fellow of the 
geological society 
committe d te am – del iverin g on str ateg y 
2 1 3 4 
5  directors’ biogr aphie s
directors’
report
jeremy a sher 
bsc econ mba  mei 
chairman
jeremy aged 55 in addition to his 
role in tower is chairman of agile 
energy limited a privately held energy 
investment company deputy chairman 
of fullylisted gulf keystone petroleum 
ltd and a director of several other 
energyrelated companies including 
nyselisted pacific drilling sa where 
he chairs the remuneration committee 
and taselisted oil refineries ltd he is 
also a member of the london business 
school’s global advisory council and 
the engineering advisory board of 
imperial innovations the commercial 
arm of imperial college following 
several years as a management 
consultant he ran the global oil 
products trading business at glencore 
ag and then acquired developed and 
sold the 275000 bd beta oil refinery at 
wilhelmshaven in germany between 
1998 and 2001 he was ceo of pa 
consulting group and since that time 
has been an investor and director in 
various public and private companies
graeme t homson 
f ca  ma  ba  mei miod
chief executive officer
graeme aged 57  has served as ceo 
of tower since 1 june 2012 until 
december 2013 he was a nonexecutive 
director of desire petroleum plc where 
he chaired the audit committee 
he was a nonexecutive director of 
frontier resources international plc 
from 201 1 to 2012 between 2009 and 
2012 he advised a range of energy and 
other companies on their financial and 
commercial affairs from 2000 to 2009 
he was a founder company secretary 
cfo and finally ceo of sterling energy 
plc and from 20052008 a non
executive director of forum energy plc 
he was cfo and company secretary 
of dragon oil plc from 1992 to 1999 in 
1989 he coled a management buyin 
to ambrit international plc which was 
taken over in 1992 he was a runnerup 
for finance director of the year at the 
2007 qca awards
14  annual report 2013 t ower resources plc directors’
report
directors’ biogr aphie s
peter taylor 
bsc h ons ceng mimeche 
nonexecutive d irector
peter aged 66 is joint chairman of tm 
services ltd an international oil and 
gas consulting company in 1991 he 
was a founder and director of tm oil 
productions ltd which became dana 
petroleum plc and one of the leading 
uk oil and gas exploration companies 
before being taken over in 2010 by 
knoc for £2bn he was founder 
member of consort resources ltd a 
significant north sea gas transportation 
and production company and was 
also a founder and director of planet 
oil ltd which reversed into hardman 
resources in 1998 planet held various 
interests including mauritania guyane 
formerly french guiana and uganda 
he was a founding member and 
director of star petroleum plc which 
was incorporated into global petroleum 
ltd and also a founding member of 
neptune petroleum ltd which was 
acquired by tower he is a director of 
global petroleum ltd listed on the 
asx and aim he was cofounder of 
jupiter petroleum ltd which has assets 
in offshore namibia and juan de nova 
jupiter was sold to global in 201 1 
he is chairman of the remuneration 
committee
peter blakey 
bsc h ons ceng miee
nonexecutive d irector
peter  aged 73 is joint chairman of tm 
services ltd an international oil and 
gas company he was a founder and 
director of tm oil production ltd which 
became dana petroleum plc and one of 
the leading uk oil and gas exploration 
companies before being taken over 
in 2010 by knoc for £2bn he was 
a founding member and director of 
consort resources ltd which became 
a significant independent north sea 
gas production company he was also 
a founder and director of planet oil ltd 
which reversed into hardman resources 
in 1998 planet oil held various interests 
including french guyane formerly french 
guyana mauritania and uganda he is 
a founder member and director of star 
petroleum plc which was incorporated 
into global petroleum ltd he is a 
director of global petroleum ltd which 
is listed on the asx and aim and was 
also cofounder of jupiter petroleum ltd 
which has assets in offshore namibia and 
juan de nova jupiter was sold to global 
in 201 1 he was also a founding member 
of neptune petroleum ltd
philip swatman 
f ca  ba
senior independent  
nonexecutive d irector
philip aged 64 qualified as a chartered 
accountant with kpmg after graduating 
from christ church oxford he joined 
nm rothschild corporate finance in 
1979  became a director in 1986 and 
subsequently managing director and 
cohead of investment banking he 
was vicechairman investment banking 
from 2001 until retirement in september 
2008 during his career the bank made 
significant progress in as a leading 
global advisory firm and a permanent 
fixture at the top of the major ma 
league tables he was involved in 
numerous transactions including the 
sale of chubb to williams northern 
foods’ acquisition of express dairies 
the ipos of vodafone and william hill 
the defence of bpb against a hostile 
bid from st gobain and the sale of 
abbot group to first reserve he was 
formerly chairman of merlin reputation 
management ltd and a nonexecutive 
director of investec structured products 
calculus vct plc and mytrah energy 
he is chairman of cambria automobile 
plc and a nonexecutive director of 
new england seafood international he 
is chairman of the audit committee of 
both companies and is on the cambria 
remuneration committee
annual report 2013  15 t ower resources plc 16  annual report 2013 t ower resources plc
directors’ report
directors’
report
the directors present their annual report on the affairs of the company and the group together with the financial statements 
and the independent auditors’ report for the year ended 31 december 2013
the company was registered in england on 6 december 2004 with company number 05305345 as a public company limited by 
shares the company’s shares are listed on the alternative investment market “ aim” of the london stock exchange
changes in share capital
details of movements in share capital share options and share warrants during the year and subsequently are set out in notes 
15 1 7 and 21 
results and dividends
during 2013 the company raised a total of 14546693 net of costs through the issue of ordinary shares to fund its 2013 and 
early 2014 share of the costs related to the well planned for april 2014 in namibia to settle the cash element of the purchase of 
wilton petroleum ltd to fund early stage evaluation costs of potential new ventures and to contribute to future working capital 
requirements
administration expenses for the year ended 31 december 2013 totalled 1814766 before a noncash sharebased payments 
charge of 627 340 costs of 121506 in relation to the equity financing facility and the standby equity financing facility see 
note 19 and 1284554 in third party costs of evaluating studying and negotiating potential new ventures or opportunities which 
are all required to be expensed net cash inflow during the year was 12976337 
the fair value of the assets acquired through the purchase of wilton petroleum ltd in october 2013 exceeded the total 
consideration paid by 484625 and in accordance with ifrs 3 this amount has been credited to the consolidated statement of 
comprehensive income for the year  
as a result of the above costs and charges the statement of comprehensive income for the year ended 31 december 2013 
shows a loss of 3336 128
on 9 april 2014 the company announced a 32 million gross £19 3 million gross placing to issue 550 million ordinary shares 
at 35p per share the acquisition of rift petroleum group for 550 million ordinary shares and a conditional farmin to block 2b 
kenya more fully described elsewhere these placing shares were admitted on 14 april 2014 
at 22 april 2014 the issued share capital of the company was 3768366678 ordinary shares
use of financial instruments
the group’s operations are funded exclusively by shareholder equity and new equity is issued on the basis of expected 
commitments the directors believe that with funds available at the reporting date and existing arrangements for a £20 million 
equity finance facility and a £8 million standby equity distribution agreement as well as potential from the equity markets 
or sale or farmouts of assets the raising of any necessary additional funds can be achieved no other financial instruments are 
expected to be deployed for the foreseeable future other than the above our use of financial instruments is not material for the 
assessment of the assets liabilities financial position and results of the group
political donations
the company made no political donations during the year 
directors 
the following directors held office throughout the year
jeremy asher 
graeme thomson
peter blakey
philip swatman
peter t aylor  annual report 2013  17 t ower resources plc
directors’
report
directors’ report
directors’ interests
the beneficial and nonbeneficial interests in the company’s shares of the directors and their families at 31 december 2013 were 
as follows
   31 december 2013  31 december 2012
   ordinary shares    ordinary shares  
   of 0 1p each  share options  of 0 1p each  share options
jeremy asher i  275000000  –    184250000  –
graeme thomson  10000000   20000000   5000000   20000000
peter blakey  98296882   –    96519 105   –
philip swatman ii  4500000   1500000  3500000   1500000
peter t aylor  105763549   –   99019 105   –
i these shares are held by agile energy limited a company owned by the asher family trust and of which jeremy asher is a lifetime beneficiary
ii of these 2000000 are held by raigersfield capital limited a company of which mr swatman and his wife are directors and together own 52 of the issued 
share capital
the directors’ interests in the company’s share warrants are disclosed in note 16 to the financial statements
on 16 april 2014 mr blakey and mr t aylor excercised warrants over 833334 each at 3p per share and mr asher excercised 
warrants over 400000 at the same price
directors’ remuneration and service contracts
jeremy asher chairman is paid at the rate of £60000 pa of which £30000 was waived in lieu of the allotment of share warrants 
graeme thomson chief executive officer is paid at the rate of £225000 pa of which £30000 was waived in lieu of the 
allotment of share warrants
philip swatman senior independent nonexecutive director is paid at the rate of £40000 pa of which £10000 was waived in 
lieu of the allotment of share warrants 
peter blakey and peter t aylor nonexecutive directors were each entitled to receive fees of £35000 pa of which each waived 
payment of £30000 in lieu of the allotment of share warrants 
the remuneration paid to the directors during the 12 months ended 31 december 2013 was as follows
      noncash noncash  
     feessalaries share sharebased 2013 2012
     in cash warrants payments total total
         
jeremy asher    35787 122994 – 158781  119386
graeme thomson 2012 7 months   309796 51335 244696 605827   416393
peter blakey    8186 51335 – 59521 36210
philip swatman    39278 17112 15372 71762  65222
peter t aylor    8186 51335 – 59521 36210
total    401233 294111 260068 955412 673421 18  annual report 2013 t ower resources plc
directors’ report
directors’
report
pensions
the group does not operate a pension scheme for directors or employees
substantial shareholders
in accordance with chapter 5 of the fca ’s disclosure and t ransparency rules the company has been notified that as at  
22 april 2014 the following interests of 3 or more existed in its ordinary share capital
   n umber of ordinary shares  
rift petroleum group holdings limited 409298925 109 
quantum pacific finance holdings limited 368223680 98
jeremy asher  275400000 73
morgan stanley  258645501 69
  these shares are held by agile energy limited which is owned by the asher family trust of which jeremy asher is a lifetime beneficiary
going concern
the operations of the group are currently being financed from funds raised from private and public placings of shares the group 
has not yet earned revenue as it is still in the exploration phase of its business and is reliant on the continuing support from its 
shareholders 
on 9 april 2014 the company announced a placing to raise 320 million before expenses the acquisition for shares of rift 
petroleum holdings limited “rift” and a farmin to block 2b kenya the board of directors believes that the placing will enable 
the company to fund its share of the 2014 namibian exploration well and other licence 0010 costs to fund the costs associated 
with the rift assets and the drilling commitments and other work programmes at block 2b kenya to continue its operations 
including the pursuit of future exploration opportunities and to continue to meet as and when they fall due its liabilities for 
at least the next twelve months from the date of approval of these financial statements the financial statements have been 
prepared on the going concern basis 
internal controls
the board is responsible for identifying and evaluating the major business risks faced by the group and for determining and 
monitoring the appropriate course of action to manage these risks
a udit committee
the audit committee meets twice each year to discuss the half yearly and annual results for the annual results the independent 
auditors uhy hacker y oung llp  are invited to discuss the results and their assessment of internal controls the chairman of the 
audit committee is philip swatman the other participating members of the committee during the year were peter blakey and 
peter t aylor 
remuneration committee
the remuneration committee meets as required and met twice during 2013 the chairman of the remuneration committee is 
peter t aylor and the other participating members during the year were philip swatman and peter blakey
statement of responsibilities of those charged with governance
the directors are responsible for preparing the financial statements in accordance with applicable laws and international financial 
reporting standards as adopted by the european union company law requires the directors to prepare financial statements 
for each financial period which give a true and fair view of the state of affairs of the group and of the company and of the profit or 
loss of the group for that period in preparing those financial statements the directors are required to
 a select suitable accounting policies and then apply them consistently
 b make judgements and estimates that are reasonable and prudent
 c  prepare the financial statements on the going concern basis unless it is inappropriate to presume that the group will 
continue in business and
 d  state whether applicable accounting standards have been followed subject to any material departures disclosed and 
explained in the financial statements
the directors confirm that the financial statements comply with the above requirements annual report 2013  19 t ower resources plc
directors’
report
directors’ report
the directors are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time 
the financial position of the group and company and to enable them to ensure that the financial statements comply with the 
companies act 2006 the directors are also responsible for safeguarding the assets of the group and hence for taking steps for 
the prevention and detection of fraud and other irregularities the directors are responsible for the maintenance and integrity of 
the corporate and financial information included on the company’s website
statement of disclosure to the auditors
so far as all the directors are aware
 a there is no relevant audit information of which the company’s auditors are unaware and
 b  they have taken all the steps that they ought to have taken to make themselves aware of any relevant audit information and 
to establish that the auditors are aware of that information
auditors
in accordance with section 485 of the companies act 2006 a resolution will be put to the annual general meeting proposing 
that uhy hacker y oung llp be reappointed as auditors of the company and that the directors be authorised to fix their 
remuneration 
by order of the board
graeme t homson
chief executive officer
22 april 2014 20  annual report 2013 t ower resources plc
ind epend ent aud itors’ report 
f inan cial
statem ents
t o th e sha reh old ers of t ower resources pl c 
we have audited the group and parent company financial 
statements of t ower resources plc for the year ended 31 
december 2013 the “financial statements” which comprise 
the consolidated statement of comprehensive income the 
consolidated and parent company statements of changes 
in equity the consolidated and parent company statements 
of financial position the consolidated and parent company 
statements of cash flows together with the related notes 
these financial statements have been prepared in accordance 
with the basis and the accounting policies set out herein
this report is made solely to the company’s members 
as a body in accordance with part 3 of chapter 16 of the 
companies act 2006 our audit work has been undertaken so 
that we might state to the company’s members those matters 
we are required to state to them in an auditor’s report and for 
no other purpose t o the fullest extent permitted by law we do 
not accept or assume responsibility to anyone other than the 
company and the company’s members as a body for our audit 
work for this report or for the opinions we have formed
respective responsibilities of directors and auditors
as explained more fully under ‘statement of responsibilities of 
those charged with governance’ on pages 18 19 the directors 
are responsible for the preparation of the financial statements 
and for being satisfied that they give a true and fair view of the 
group’s affairs
our responsibility is to audit the financial statements in 
accordance with relevant law and international standards 
on auditing uk and ireland those standards require us 
to comply with the auditing practices board’s apb ethical 
standards for auditors 
scope of the audit of the financial statements 
a description of the scope of an audit of financial statements is 
available from the apb’s website at wwwfrcorgukapbscope
privatecfm
opinion on financial statements
in our opinion the financial statements
 –  give a true and fair view of the state of the group’s and 
the parent company’s affairs as at 31 december 2013 and 
of the group’s loss for the year then ended
 –  have been properly prepared in accordance with 
international financial reporting standards as adopted 
by the european union and
 –  have been prepared in accordance with the requirements 
of the companies act 2006 
opinion on other matters prescribed by the companies a ct 
2006
in our opinion the information given in the directors’ report 
for the financial year for which the financial statements are 
prepared is consistent with the financial statements 
matters on which we are required to report by exception 
we have nothing to report in respect of the following matters 
where the companies act 2006 requires us to report to you if 
in our opinion
 –  adequate accounting records have not been kept or 
returns adequate for our audit have not been received 
from branches not visited by us or
 –  the financial statements are not in agreement with the 
accounting records and returns or 
 –  certain disclosures of directors’ remuneration specified by 
law are not made or
 –  we have not received all the information and explanations 
we require for our audit
colin wright  uhy h acker young llp
senior statutory auditor quadrant house
f or and on behalf of  4 thomas more square
uhy h acker young llp london e1w 1yw
chartered accountants
statutory auditor
22 april 2014 annual report 2013  21 t ower resources plc
f inan cial
statem ents
cons ol idat ed stat ement of comprehens ive in come 
f or th e yea r end ed 31 d ecember 2013
 
         2013  2012  
       notes   
continuing operations 
revenue        –  – 
cost of sales        –  – 
gross profit        –  – 
administrative expenses before exceptional items      1814766  1734554  
sharebased payments      1 7  627 340  764264  
impairment of exploration and evaluation assets     9 –  8584979  
costs incurred in the investigation and evaluation of potential new business opportunities   1284554  – 
total administrative expenses       3726660  11083797 
group operating loss       3726660  11083797  
finance costs       19 121506  681251  
finance income        27413  56116  
gain on acquisition of subsidiary      18  484625  – 
l oss for the year before taxation       3336128  11708932  
taxation       4 –  – 
l oss for the year after taxation       3336128  11708932  
other comprehensive income       –  – 
total comprehensive income       3336128  1 1708932 
 
attributable to 
equity holders of the company       3336128  1 1708932 
 
l oss per share cents      5 
basic        016c  079c 
diluted        016c  079c 
 
the results shown above relate entirely to continuing operations 22  annual report 2013 t ower resources plc
cons ol idat ed and company stat ements of chan ges in equity
f or th e yea r end ed 31 d ecember 2013
f inan cial
statem ents
 
       sharebased   
     share share payments retained total 
     capital premium reserve losses equity 
         
cons ol idate d 
balance at 1 january 2012   2210304 40290349 1553077 36658 135 7 395595 
share issues net of costs   627 016 1 7 982200 – – 18609 216 
t otal comprehensive income for the year   – – 764264 1 1708932 10944668 
t ransfers between reserves   – – 576602 576602 –
balance at 31 december 2012   2837 320 58272549 17 40739 47 790465 15060 143
shares issued for cash net of costs   1362116 13184577 – – 14546693 
shares issued on acquisition of subsidiary   194460 2430750 – – 2625210 
shares issued on settlement of third party fees  5037 66454 – – 71491 
t otal comprehensive income for the year   – – 627340 3336128 2708788
balance at 31 december 2013   4398933 73954330 2368079 51 126593 29 594749
 
       sharebased   
     share share payments retained total 
     capital premium reserve losses equity 
         
company 
balance at 1 january 2012    2210304 40290349 1553077 38 184 156 5869 57 4 
share issues net of costs   627 016 1 7 982200 – – 18609 216 
t otal comprehensive income for the year   – – 764264 10408432 9 644 168 
t ransfers between reserves   – – 576602 576602 –
balance at 31 december 2012   2837 320 58272549 17 40739 48015986 14834622
shares issued for cash net of costs   1362116 13184577 – – 14546693 
shares issued on acquisition of subsidiary   194460 2430750 – – 2625210 
shares issued on settlement of third party fees  5037 66454 – – 71491 
t otal comprehensive income for the year   – – 627340 3398139 2770799
balance at 31 december 2013   4398933 73954330 2368079 51414 125 29 307 217
  annual report 2013  23 t ower resources plc
f inan cial
statem ents
cons ol idat ed stat ement of f inan cial posit ion 
as at 31 d ecember 2013
 
 
 
         2013  2012  
       notes   
assets
n oncurrent a ssets
plant and equipment      8 966 –
goodwill      9 4033541 4033541
exploration and evaluation assets     9 8893826 1157668
        12928333 5191209
 
current a ssets
t rade and other receivables     1 1 2285381 1282975
cash and cash equivalents      17454712 4478375
restricted cash       – 5600000
        19740093 11361350
total a ssets       32668426 16552559
 
l iab il ities
current liabilities
t rade and other payables     12 3073677 1492416
total liabilities       3073677 1492416
net a ss ets       29594749 15060143
 
equity
capital and reserves
share capital      15 4398933 2837320
share premium      15 73954330 58272549
sharebased payments reserve     17 2368079 1740739
retained losses       51126593 47790465
sha reho ld ers’ equity      29594749 15060143
 
the financial statements were approved by the board of directors on 22 april 2014 and signed on its behalf by
graeme t homson
chief executive officer
company registration number 05305345 24  annual report 2013 t ower resources plc
company stat ement of f inan cial posit ion 
as at 31 d ecember 2013
f inan cial
statem ents
 
         2013  2012  
       notes   
assets
n oncurrent a ssets 
plant and equipment      8 966 – 
loans to subsidiary undertakings     10 8925565 1129588 
investments in subsidiary undertakings     10 9394225 4091242
        18320756 5220830
 
current a ssets   
t rade and other receivables     1 1 1048146 60342
cash and cash equivalents      10561942 4374726
restricted cash       – 5300000
        11610088 9735068
total a ssets       29930844 14955898
 
l iab il ities
current liabilities 
t rade and other payables     12 623627 121276
total liabilities       623627 121276
n et ass ets       29307 217 14834622
equity
capital and reserves 
share capital      15 4398933 2837320
share premium       15 73954330 58272549
sharebased payments reserve     17 2368079 1740739
retained losses       51414125 48015986
sha reho ld ers’ equity      29307 217 14834622
 
the financial statements were approved by the board of directors on 22 april 2014 and signed on its behalf by
graeme t homson
chief executive officer
company registration number 05305345 annual report 2013  25 t ower resources plc
f inan cial
statem ents
cons ol idat ed stat ement of cash fl ows
f or th e yea r end ed 31 d ecember 2013
 
         2013  2012  
       notes   
cash outflow from operating activities
group operating loss for the year      3726660 11083797
 adjustments for items not requiring an outlay of funds
 depreciation and impairment of plant  equipment    8 112 103731
 sharebased payments     17 627340 764264
 disposal of plant  equipment      – 45550
 impairment of exploration and evaluation assets     – 8584979
operating loss before changes in working capital     3099208 1585273
movements in working capital excluding effects of acquisition
increase in receivables and prepayments      1054133 238306
increase in trade and other payables      526714 433434
cash used in operations      3626627 1390145
interest received       27414 56116
n et cash used in operating activities      3599213 1334029
investing activities
funds used in exploration and evaluation     9 7 658658 8692340
payments to purchase plant and equipment     8 1078 158
restricted cash held in escrow account      – 5300000
release of restricted cash held in escrow account     5600000 –
acquisition of subsidiary net of cash acquired    18 4210099 –
n et cash fromused in investing activities      2150363 13992498
 
f inancing activities
cash proceeds from issue of ordinary share capital    15 15323798 18922221
share issue costs      15 777 105 313005
seda loan received       – 3125000
seda loan repaid       – 3125000 
finance costs      19 121506 681251
n et cash from financing activities      14425187 17927965
 
increase in cash and cash equivalents      12976337 2601438
cash and cash equivalents at beginning of year     4478375 1876937
cash and cash equivalents at end of year      17454712 4478375 26  annual report 2013 t ower resources plc
company stat ement o f c ash fl ows
f or th e yea r end ed 31 d ecember 2013
f inan cial
statem ents
 
         2013  2012  
       notes   
cash outflow from operating activities
operating loss for the year      3302531 9769194
adjustments for items not requiring an outlay of funds   
 depreciation of plant and equipment     8 112 1355
 sharebased payments      17 627340 764264
 impairment of loans due from subsidiaries    10 460029 7507139
operating loss before changes in working capital     2215050 1496436
increasedecrease in receivables and prepayments     987 802 40142
increasedecrease in trade and other payables     502348 600972
cash used in operations      2700504 2057266
interest received       25899 42014
n et cash used in operating activities      2674605 2015252
investing activities 
loans granted to subsidiary undertakings     10 8256006 7630055
restricted cash held in escrow account     9 – 5300000
release of restricted cash held in escrow account     5300000 –
acquisition of subsidiary     18 2677 773 –
payments to purchase plant and equipment     8 1078 –
n et cash used in investing activities      5634857 12930055
f inancing activities 
cash proceeds from issue of ordinary share capital    15 15395289 18922221
share issue costs      15 777 105 313005
seda loan received       – 3125000
seda loan repaid       – 3125000
finance costs       19 121506 681251
net cash from financing activities      14496678 17927965
increase in cash and cash equivalents      6187216 2982658
cash and cash equivalents at beginning of year     4374726 1392068
cash and cash equivalents at end of year      10561942 4374726 annual report 2013  27 t ower resources plc
f inan cial
statem ents
n ot es to the f inan cial stat ements 
f or th e yea r end ed 31 d ecember 2013
1 a ccounting policies
the principal accounting policies applied in the preparation of these financial statements are set out below these policies have 
been consistently applied to all the years presented unless otherwise stated below
1 1 basis of preparation
the financial statements are prepared on a going concern basis under the historical cost convention and in accordance with 
international financial reporting standards as adopted by the european union “ifrs” and in accordance with the companies 
act 2006 the parent company’s financial statements have also been prepared in accordance with ifrs and the companies act 
2006 the group and company financial statements are presented in us dollars
12 going concern
the operations of the group are currently being financed from funds raised from private and public placings of shares the group 
has not yet earned revenue as it is still in the exploration phase of its business and is reliant on the continuing support from its 
shareholders 
on 9 april 2014 the company announced a placing to raise 320 million before expenses the acquisition for shares of rift 
petroleum holdings limited “rift” and a farmin to block 2b kenya the board of directors believes that the placing will enable 
the company to fund its share of the 2014 namibian exploration well and other licence 0010 costs to fund the costs associated 
with the rift assets and the drilling commitments and other work programmes at block 2b kenya to continue its operations 
including the pursuit of future exploration opportunities and to continue to meet as and when they fall due its liabilities for at 
least the next twelve months from the date of approval of these financial statements the financial statements have been prepared 
on the going concern basis 
13 if rs s tandards and interpretations in issue but not yet effective
at the date of approval of these financial statements the following standards and interpretations which have not been applied 
in these financial statements were in issue but not yet effective these new standards amendments and interpretations are 
effective for accounting periods beginning on or after the dates shown below
international financial reporting standards ifrsifric effective date
ifrs 9 financial instruments – deals with classification and measurement of financial assets 1 january 2015
ifrs 10 consolidated financial statements 1 january 2014
ifrs 1 1 joint arrangements  1 january 2014
ifrs 12 disclosure of interests in other entities 1 january 2014
ias32 amended offsetting financial assets and financial liabilities – new disclosure requirements 1 january 2014
ias 36 impairment of assets – recoverable amount disclosures for nonfinancial assets 1 january 2014
 
the group has not adopted these amended standards and interpretations early the directors do not anticipate that the adoption 
of these standards and interpretations will have a material impact on the group’s financial statements in the periods of initial 
application
14 basis of consolidation
the consolidated financial statements incorporate the accounts of the company and its subsidiaries and have been prepared by 
using the principles of acquisition accounting “the purchase method” which includes the results of the subsidiaries from their date 
of acquisition intragroup sales profits and balances are eliminated fully on consolidation
15 goodwill
goodwill is the difference between the amount paid on acquisition of subsidiary undertakings and the aggregate fair value of 
their net assets  of which oil and gas exploration expenditure is the primary asset goodwill is capitalised as an intangible asset 
and in accordance with ifrs3 ‘business combinations’ is not amortised but tested for impairment annually and when there are 
indications that its carrying value is not recoverable goodwill is shown at cost less any provision for impairment in value if a 
subsidiary undertaking is sold any unimpaired goodwill arising on its acquisition is reflected in the calculation of any profit or loss 
on sale 28  annual report 2013 t ower resources plc
n ot es to the f inan cial stat ements cont inue d
f or th e yea r end ed 31 d ecember 2013
f inan cial
statem ents
16 oil and gas exploration and evaluation expenditure
all exploration and evaluation costs incurred or acquired on the acquisition of a subsidiary are accumulated in respect of each 
identifiable project area these costs are classified as intangible assets and are only carried forward to the extent that they are 
expected to be recouped through the successful development of the area or where activities in the area have not yet reached 
a stage which permits reasonable assessment of the existence of economically recoverable reserves successful efforts other 
costs are written off unless commercial reserves have been established or the determination process has not been completed 
accumulated costs in relation to an abandoned area are written off in full against profit in the year in which the decision to 
abandon the area is made 
when production commences the accumulated costs for the relevant area of interest are transferred from intangible assets to 
tangible assets as ‘developed oil and gas assets’ and amortised over the life of the area according to the rate of depletion of the 
economically recoverable costs
17 impairment of oil and gas exploration and evaluation a ssets
the carrying value of unevaluated areas is assessed at least annually or when there has been an indication that impairment in 
value may have occurred the impairment of unevaluated prospects is assessed based on the directors’ intention with regard to 
future exploration and development of individual significant areas and the ability to obtain funds to finance such exploration and 
development
18 decommissioning costs
where a material liability for the removal of production facilities and site restoration at the end of the field life
exists a provision for decommissioning is made the amount recognised is the present value of estimated future expenditure 
determined in accordance with local conditions and requirements an asset of an amount equivalent to the provision is also 
created and depreciated on a unit of production basis changes in estimates are recognised prospectively with corresponding 
adjustments to the provision and the associated asset
19 plant and equipment
plant and equipment is stated at cost less depreciation depreciation is provided at rates calculated to write off the cost less 
estimated residual value of each asset over its expected useful life as follows
computers and equipment fixtures fittings and equipment – straight line over 4 years
the assets’ residual values and useful lives are reviewed and adjusted if necessary at each year end profits or losses on disposals of 
plant and equipment are determined by comparing the sale proceeds with the carrying amount and are included in the statement 
of comprehensive income items are reviewed for impairment if and when events indicate that the carrying amount may not be 
recoverable an impairment loss is recognised for the amount by which the carrying amount of the asset exceeds its recoverable 
amount which is the higher of an asset’s net selling price and value in use
1 10 investments
the parent company’s investments in subsidiary companies are stated at cost less any provision for impairment and are shown in 
the company’s statement of financial position
1 1 1 share based payments
the company makes sharebased payments to certain directors by the issue of share options or warrants the fair value of these 
payments is calculated either using the black scholes option pricing model or by reference to the fair value of the remuneration 
settled by way of the grant of such options or warrants the expense is recognised on a straight line basis over the period from the 
date of award to the date of vesting based on the company’s best estimate of shares that will eventually vest
1 12 f oreign currency translation
i functional and presentational currency
items included in the financial statements are shown in the currency of the primary economic environment in which the company 
operates “the functional currency” which is considered by the directors to be the us dollar  the exchange rate at 31 december 
2013 was £1  us1657 4 2012 £1  us 16255 annual report 2013  29 t ower resources plc
f inan cial
statem ents
n ot es to the f inan cial stat ements cont inue d
f or th e yea r end ed 31 d ecember 2013
ii transactions and balances
foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the dates of the 
transactions foreign exchange gains and losses resulting from the settlement of such transactions and from the translation at 
year end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in the statement of 
comprehensive income
t ransactions in the accounts of individual group companies are recorded at the rate of exchange ruling on the date of the 
transaction monetary assets and liabilities denominated in foreign currencies are translated at the rates ruling at the year end all 
differences are taken to the statement of comprehensive income
1 13 deferred taxation
deferred income taxes are provided in full using the liability method for all temporary differences arising between the tax bases 
of assets and liabilities and their carrying amounts in the financial statements deferred income taxes are determined using tax 
rates that have been enacted or substantially enacted and are expected to apply when the related deferred income tax asset is 
realised or the related deferred income tax liability is settled 
the principal temporary differences arise from depreciation or amortisation charged on assets and tax losses carried forward 
deferred tax assets relating to the carry forward of unused tax losses are recognised to the extent that it is probable that future 
taxable profit will be available against which the unused tax losses can be utilised 
1 14 cash and cash equivalents
cash and cash equivalents are carried at cost and comprise cash in hand cash at bank deposits held at call with banks 
and other shortterm highly liquid investments with original maturities of three months or less
1 15 receivables
receivables are carried at original invoice amount less provision made for impairment of these receivables a provision for 
impairment of receivables is established when there is objective evidence that the group will not be able to collect all amounts 
due according to the original terms of the receivables the amount of the provision is the difference between the assets’ carrying 
amount and the recoverable amount provisions for impairment of receivables are included in the statement of comprehensive 
income
1 16 payables
payables are recognised initially at fair values and subsequently measured at amortised cost using the effective interest method
1 17 share capital
ordinary shares are classified as equity proceeds received from the issue of ordinary shares above the nominal value is classified as 
share premium costs directly attributable to the issue of new shares are shown in equity as a deduction from the share premium 
account
1 18 critical accounting judgements and estimates
the preparation of financial statements in conformity with international financial reporting standards requires the use of 
accounting estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial 
statements and the reported amounts of income and expenses during the reporting period although these estimates are based 
on management’s best knowledge of current events and actions actual results ultimately may differ from those estimates ifrs 
also require management to exercise its judgement in the process of applying the group’s accounting policies
the prime areas involving a higher degree of judgement or complexity where assumptions and estimates are significant to the 
financial statements are as follows
recoverability of intercompany balances
determining whether intercompany balances are impaired requires an estimation of whether there are any indications that their 
carrying values are not recoverable  30  annual report 2013 t ower resources plc
n ot es to the f inan cial stat ements cont inue d
f or th e yea r end ed 31 d ecember 2013
f inan cial
statem ents
1 18 critical accounting judgements and estimates continued
 
impairment of capitalised exploration and evaluation expenditure
the future recoverability of capitalised exploration and evaluation expenditure is dependent on a number of factors including 
whether it successfully recovers the related exploration and evaluation asset through sale factors which could impact the future 
recoverability include the level of proved probable and inferred resources future technological changes which could impact the 
cost of drilling and extraction future legal changes including changes to environmental restoration obligations and changes to 
commodity prices
t o the extent that capitalised exploration and evaluation expenditure is determined to be irrecoverable in the future this will 
reduce profits and net assets in the period in which this determination is made in addition exploration and evaluation expenditure 
is capitalised if activities in the area of interest have not yet reached a stage which permits reasonable assessment of the existence 
or otherwise of economically recoverable reserves t o the extent that it is determined in the future that this capitalised expenditure 
should be written off this will reduce profits and net assets in the period in which this determination is made
impairment of goodwill
determining whether goodwill is impaired requires an estimation of the value in use of the cashgenerating units to which goodwill 
has been allocated the value in use calculation requires the directors to estimate the future cash flows expected to arise from the 
cashgenerating unit and a suitable discount rate in order to calculate present value
sharebased payment transactions
the group measures the cost of equitysettled transactions with employees by reference to the fair value of the equity instruments 
at the date at which they are granted the fair value is determined either by using the black scholes model or by reference to the 
value of the fees or remuneration settled by way of granting of warrants
2 group operating loss
the group’s operating loss is stated after chargingcrediting the following items
         2013  2012  
year ended 31 december 2013        
sharebased payments charge note 1 7      627340 764264
employee costs note 7      1015392 1182929
auditors’ remuneration – audit services      35000 35000
  – non audit services      9371 14912
rental of properties       95130 94305
profit on foreign currencies      783051 123126
depreciation of plant  equipment      112 37963
impairment of plant  equipment      – 65768
impairment of ee assets      – 8584979
 excluding sharebased payment charge
‘ auditors’ remuneration – nonaudit services’ comprises 4562 for reviewing the group’s 2013 half year results and 4809 for tax 
services 2012 10370 for reviewing the group’s half year results and 4542 for tax services   annual report 2013  31 t ower resources plc
f inan cial
statem ents
n ot es to the f inan cial stat ements cont inue d
f or th e yea r end ed 31 d ecember 2013
3 operating segments
the group has two reportable operating segments africa and head office fixed assets and operating liabilities are 
located in africa whilst the majority of current assets are carried at head office the group has not yet commenced 
production and therefore has no revenue each reportable segment adopts the same accounting policies in compliance 
with ifrs 8 ‘operating segments’ the following tables reconcile the operational loss and the assets and liabilities of each 
reportable segment with the consolidated figures presented in these financial statements together with comparative 
figures for the year ended 31 december 2012
      a frica h ead office  a djustment consolidated  
year ended 31 december 2013       
administration costs     868405 946249 – 1814654
cost of evaluating potential new ventures    – 1284554 – 1284554
sharebased payments charge    – 627 340 – 627 340
depreciation of plant and equipment    – 1 12 – 1 12
interest income     – 27413 – 27413
f inancing costs see note 19    – 121506 – 121506
gain on acquisition of subsidiary note 18    – 484625 – 484625
l oss by reportable segment    868405 2467 723 – 3336 128
total assets by reportable segment    9 766326 21487  192 1414908 32668426
total liabilities by reportable segment    1023997 1949 659 100021 3073677
      africa head office  adjustment consolidated  
year ended 31 december 2012       
administration costs     88837 1496437 – 1585274
sharebased payments charge    132372 631892 – 764264
depreciation of plant and equipment     82 157 1355 – 83512
impairment of plant  equipment    65768 – – 65768
interest income     14102 42014 – 56116
financing costs see note 19    – 681251 – 681251
impairment of ee costs    8584979 – – 8584979
loss by reportable segment    894001 1 2768921 – 1 1708932
t otal assets by reportable segment    8083951 8346047 12256 1 16552559
t otal liabilities by reportable segment    1270498 121275 100643 1492416
the ‘adjustments’ in the above tables represent the offsetting of intersegmental receivables and payables 32  annual report 2013 t ower resources plc
n ot es to the f inan cial stat ements cont inue d
f or th e yea r end ed 31 d ecember 2013
f inan cial
statem ents
4 taxation
         2013  2012  
          
current tax  
uk corporation tax       – –
total current tax charge      – –
  
the tax charge for the period can be reconciled to the loss for the year as follows  
group loss before tax       3336128 11708932
t ax at the uk corporation tax rate of 2325 245     775650 2868688
t ax effects of  
expenses not deductible for tax purposes      82775 2393414
t ax losses carried forward not recognised as a deferred tax asset    692875 475274
        – –
factors that may affect future tax charges
at the yearend date the group has unused tax losses available for offset against suitable future profits of approximately  
7 5 million 2012 440 million a resulting deferred tax asset of 15 million has not been recognised in respect of such losses due 
to the uncertainty of future profit streams 
5 l oss per share
the group’s operating loss is stated after chargingcrediting the following items
         2013  2012  
          
l oss for the year       3336128 11708932
weighted average number of shares in issue      2 0 2 7  6 0 3 7 7 5 1490 13856 7
basic loss per share       016c 079c
diluted loss per share       016c 079c
 
the diluted weighted average number of shares in issue and to be issued is 2051459663 the diluted loss per share has 
been kept the same as the basic loss per share because the conversion of share options and share warrants would decrease 
the basic loss per share and is thus antidilutive
6 parent company income statement
for the year ended 31 december 2013 the parent company incurred a loss of 3398139 2012 10408432 including  
the financing costs of 121506 2012 681251 referred to in note 19 the sharebased payments charge of 627 340  
2012 764264 and a provision for the impairment of advances to its uganda operating subsidiary of 460029 in 
accordance with the provisions of section 408 of the companies act 2006 the parent company has not presented a 
statement of comprehensive income  annual report 2013  33 t ower resources plc
f inan cial
statem ents
n ot es to the f inan cial stat ements cont inue d
f or th e yea r end ed 31 d ecember 2013
7 employee costs
the employee costs of the group including directors’ remuneration are as follows
         2013  2012  
          
wages salaries and fees       910433  1100309 
social security costs        104959  82620 
sharebased payments charge note 1 7       627 340  764264 
total        1642732  1947193
 
the above amounts for 2013 have all been charged in administration expenses however the comparative figures for 2012 
included a total of 728543 that had initially been capitalised as exploration and evaluation assets but was subsequently 
included in the amount impaired in the financial statements for that year
8 plant and equipment
         group company  
year ended 31 december 2013        
cost  
at 1 january 2013       255800 21291
additions during the year       1078 1078
a t 31 december 2013      256878 22369
depreciation and impairment  
at 1 january 2013        255800 21291
charge for the year       112 112
a t 31 december 2013      255912 21403
n et book value  
a t 31 december 2013       966 966
at 31 december 2012      – –
         group company  
year ended 31 december 2012        
cost  
at 1 january 2012       301193 21291
additions during the year       158 – 
disposals during the year      45551 –
at 31 december 2012      255800 21291
depreciation and impairment  
at 1 january 2012        152069 19 936
charge for the year       37963 1355 
impairment for the year      65768 –
at 31 december 2012      255800 21291
n et book value  
at 31 december 2012       – –
at 31 december 2011       149124 1355 34  annual report 2013 t ower resources plc
n ot es to the f inan cial stat ements cont inue d
f or th e yea r end ed 31 d ecember 2013
f inan cial
statem ents
9 intangible assets
        exploration and 
        evaluation assets goodwill total  
group         
cost 
at 1 january 2013       34797 767  8023292  42821059 
additions during the year      7736 158  – 7736 158 
a t 31 december 2013      42533925  8023292  50557 217
a mortisation and impairment 
at 1 january 2013       33640099  3989 751  37 629 850
impairment during year      – – –
a t 31 december 2013      33640099  3989 751  37 629 850 
n et book value 
a t 31 december 2013      8893826  4033541  12927 367 
at 31 december 2012      1 157 668  4033541  5 191209
the above capitalised ee costs at 31 december 2013 relate to the group’s namibian licence 8591212 and sadr 
licence 302614 these costs have not been impaired because commercial reserves have not yet been established or the 
determination and evaluation process is incomplete in the opinion of the directors taking into account the expiry dates 
of those licences the likelihood of their renewal the availability of funds and the intention to continue exploration and 
evaluation in both license areas no indication of impairment of the ee assets currently exists 
10 investments – subsidiary undertakings
       loans to shares in 
       subsidiary subsidiary 
       undertakings undertakings total
company        
cost
at 1 january 2013      38522940 8088547 466 1 1487
net advances during the year      8256006 – 8256006 
acquisition during the year note 18     – 5302983 5302983
a t 31 december 2013     46778946 13391530 60 170476
provision for impairment
at 1 january 2013      37 393352 3997 305 41390657
provision for impairment     460029 – 460029
a t 31 december 2013     37 853381 3997 305 41850686
n et book value 
a t 31 december 2013     8925565 9 394225 18319 790
at 31 december 2012     1129588 4091242 5220830
of the loans to subsidiary undertakings 8622537 represents funds lent to the namibian operating subsidiary all loans have no 
fixed repayment terms and are repayable in more than one year   annual report 2013  35 t ower resources plc
f inan cial
statem ents
n ot es to the f inan cial stat ements cont inue d
f or th e yea r end ed 31 d ecember 2013
10 investments – subsidiary undertakings continued
the acquisition during the year was the purchase of the entire issued share capital of wilton petroleum limited of which further 
details are shown in note 18
under the terms of the agreement for the purchase of comet petroleum ltd “comet” in 2008 additional consideration may 
be payable in the future depending upon the success of comet’s evaluation and exploration activities in the saharawi arab 
democratic republic in the western sahara through its wholly owned subsidiary comet petroleum sadr limited it is not 
possible at this stage to quantify with any accuracy such additional prospective consideration 
the company’s direct or indirect subsidiaries at 31 december 2013 all of which have been consolidated into the group financial 
statements were
    percentage of
   country of  of ordinary
subsidiary undertakings principal activities incorporation share capital held
neptune petroleum limited holding company england 100
neptune petroleum uganda limited  oil and gas exploration bvi 100
neptune petroleum namibia limited  oil and gas exploration  bvi 100
comet petroleum limited holding company england 100
comet petroleum sadr limited oil and gas exploration bvi 100
t ower resources namibia limited oil and gas exploration  england 100 
wilton petroleum limited oil and gas exploration england 100
 
1 1 trade and other receivables
      2013   2012 
      group  company group company  
          
other receivables     2285381 1048146 1282975 60342
 
included in the above group figure is an amount of 1196534 in respect of vat repayable by the government of uganda 
to the subsidiary neptune petroleum uganda limited discussions are continuing between local management and the 
ugandan government regarding repayment of this amount and the company is optimistic that a successful outcome will 
be reached and so no provision for impairment has been made  
12 trade and other payables
      2013   2012 
      group  company group company  
          
payables and accruals     3073677 623627 1492416 121276
 
included in the above group figure is an amount of 1200000 in respect of potential liability for withholding tax in uganda 
of the group’s subsidiary neptune petroleum uganda limited no formal assessment from the ugandan government 
has been received by the group and discussions are continuing between local management and the ugandan government 
regarding the potential liability 
the remaining payables balance represents liabilities incurred by the group in the course of its normal commercial activities 
and are payable within a period of approximately 45 days
  36  annual report 2013 t ower resources plc
n ot es to the f inan cial stat ements cont inue d
f or th e yea r end ed 31 d ecember 2013
f inan cial
statem ents
13 f inancial instruments
interest rate risk
at 31 december 2013 the group had us dollar cash deposits of 16841371 pound sterling cash deposits of a us dollar 
equivalent of 6 12432 euro cash deposits of a us dollar equivalent of 472 and uganda shillings cash deposits of a us dollar 
equivalent of 437  the company’s exposure to interest rate risk which is the risk that a financial instrument’s value will fluctuate as 
a result of changes in market interest rates on classes of financial assets and financial liabilities was as follows
      2013 2012 
      floating noninterest floating noninterest
      interest rate bearing interest rate bearing
         
financial assets    
cash at bank     16972960 481752 4504402 273973
the effective weighted interest rate on interestbearing deposits during the year was approximately 060
debt
at 31 december 2013 the group had no debt
n et fair value
the net fair value of financial assets and financial liabilities approximates to their carrying amount as disclosed in the balance sheet 
and in the related notes
currency risk
the functional currency for the group’s operating activities including drilling activities is the us dollar  the group’s objective in 
managing currency exposures arising from its net investment overseas is to maintain a low level of borrowings the group has not 
hedged against currency depreciation but continues to keep the matter under review
f inancial risk management
the directors recognise that this is an area in which they may need to develop specific policies should the group become exposed 
to further financial risks as the business develops
capital risk management
the group considers capital to be its equity reserves at the current stage of the group’s life cycle the group’s objective in 
managing its capital is to ensure funds raised meet its exploration expenditure requirements
the group ensures it is meeting its objectives by ensuring that its exploration activities are progressing in line with expectations 
and that it controls costs and places unused funds on deposit to conserve resources and increase returns on surplus cash held
the group is not exposed to any externally imposed capital requirement
credit risks
the group does not have any perceived credit risks on its trade and other receivables with the exception of the matter referred to 
in note 1 1 above annual report 2013  37 t ower resources plc
f inan cial
statem ents
n ot es to the f inan cial stat ements cont inue d
f or th e yea r end ed 31 d ecember 2013
14 exploration expenditure commitments
the group is committed to funding its 30 share of an exploration well on licence 0010 in namibia approval was given by 
the namibian authorities in january 2013 for the repsol group to become capital operator of and to acquire a 44 interest 
in the licence the second renewal exploration period concludes on 22 august 2014 and requires that an exploration well 
be drilled there is then an optional third renewal exploration period to 22 august 2016 for which a one well commitment 
would be required drilling of the exploration well welwitschia1 is planned to start before the end of april 2014 at a 
budgeted net cost of approximately 27 0 million and other net licence costs of approximately 30 million this budget 
includes a net of approximately 15 million of consumables that may not be used in the well and which can be rebated at 
approximately this amount as at 31 december 2013 the group has paid a total of 30 million of cash calls towards these 
net costs and since then has paid a further approximately 34 million
15 share capital
         2013  2012  
          
a llotted called up and fully paid 
263831821 7 ordinary shares of 0 1p each 2012 1623652227     4398933  2837320
 
the share capital issues during 2013 are summarised as follows  
        n umber of share capital at share 
        shares nominal value premium  
          
at 1 january 2013       1623652227  2837 320  58272549 
shares issued for cash      891449 370  1362 1 16  13961682 
cost of share issues       – –  777105 
shares issued in lieu of fees payable      3216620  5037  66454 
shares issued on acquisition of subsidiary undertaking     120000000  194460  2430750 
at 31 december 2013      2638318217  4398933  73954330
 
details of share options outstanding at 31 december 2013 are as follows 
          n umber 
          in issue
at 1 january 2013         33500000 
granted during the year        24000000 
at 31 december 2013        57500000
  38  annual report 2013 t ower resources plc
n ot es to the f inan cial stat ements cont inue d
f or th e yea r end ed 31 d ecember 2013
f inan cial
statem ents
15 share capital continued
   latest     option   number 
date of grant  excercisable date     price  in issue
3 may 2007   3 may 2014     225p   2000000 
20 september 2007   20 september 2014     275p   1000000 
1 july 2008   1 july 2015     475p   1000000 
1 october 2008   1 october 2015     388p   1000000 
28 may 2010   28 may 201 7     1325p   1000000 
19 may 201 1   19 may 2018     5475p   6000000
26 april 2012   26 april 201 7      285p   1500000 
1 june 2012   1 july 201 7      3025p   20000000 
1 1 march 2013   1 1 march 2016      2 10p   4000000 
7 october 2013   7 october 2018      1225p   20000000
         57500000
 these options vest in the beneficiaries in equal tranches on the first second and third anniversaries of grant
see note 21 for exercises and awards subsequent to the end of 2013
 
16 share warrants
details of the warrants outstanding at 31 december 2013 are as follows
          n umber of  
         warrants
at 1 january 2013         25319199  
granted during the year        24212890
at 31 december 2013        49532089
 
   latest     warrant  number  
date of grant  excercisable date     price  of warrants
20 april 2009   20 april 2014     300p   4300001 
15 december 2009   15 december 2014     255p   2235318 
28 may 2010   28 may 2015     1325p   6339 621 
14 october 2010   14 october 2015     372p   712784 
19 may 201 1   19 may 2016     548p   1716893 
30 july 2012   30 july 2019     3225p   10014581 
25 july 2013   25 july 2018     1225p   24212891 
         49532089
 
these warrants vest in the beneficiaries on the first anniversary of grant
see note 21 for exercises and awards subsequent to the end of 2013 annual report 2013  39 t ower resources plc
f inan cial
statem ents
n ot es to the f inan cial stat ements cont inue d
f or th e yea r end ed 31 d ecember 2013
16 share warrants continued
the following table shows the interests of the directors in the share warrants in issue
         2013  2012
jeremy asher        11453190  6913213  
graeme thomson        5998351  1458434  
peter blakey        9196615  4656698  
philip swatman        1999450  486144  
peter taylor        9196615  4656698
total        37844221  181 71187
 
the weighted average exercise price of the share warrants was 204 pence with a weighted average contractual life of 3 years and 
98 days the number of warrants vested and exercisable at the end of the year was 25319  199  
 
17 sharebased payments charges
         2013  2012  
          
in its statement of comprehensive income the company recognised the  
following charge in respect of its share based payment plan    627340  764264
 
in compliance with the requirements of ifrs 2 on sharebased payments the fair value of options or warrants granted 
during the year is calculated using the black scholes option pricing model for this purpose the volatility applied in 
calculating the above charge varied between 5413 and 6575 depending upon the date of grant and the risk free 
interest rate was 050
the company’s share price ranged between 115p and 485p during the year the closing price on 31 december 2013 was 
4675p per share the weighted average exercise price of the share options was 297p with a weighted average contractual 
life of 3 years and 43 days the total number of options vested at the end of the year was 19166666
18 gain on acquisition of business combination
on 4 october 2013 the company completed the purchase of the entire issued share capital of wilton petroleum limited  
the following table summarises the fair value of assets acquired and the consideration paid
          fair values
          
fair values of net assets acquired at completion  
 sundry debtors        25772  
 cash and cash equivalents       6887 872  
 sundry creditors and tax payable       1 126036 
t otal fair value of net assets acquired        5787608 
consideration 120000000 ordinary shares issued in part consideration note 15    2625210  
cash payment in part consideration for the acquisition      2630500  
cost of acquisition        47273 
total cost of acquisitionconsideration        5302983
gain on acquisition shown in consolidated statement of comprehensive income     484625 40  annual report 2013 t ower resources plc
n ot es to the f inan cial stat ements cont inue d
f or th e yea r end ed 31 d ecember 2013
f inan cial
statem ents
18 gain on acquisition of business combination continued
the 120000000 ordinary shares in the company issued in part consideration for the acquisition are lockedin for a period 
of 12 months from the date of completion
          
the net cash inflow arising from the acquisition was 
cash consideration         2630500 
cash costs         47273 
cash acquired as above        6887872 
net cash acquired         4210099
 
19 f inance costs 
during the period covered by these financial statements the company incurred costs of 121506 associated with the standby 
equity distribution agreement “seda ” and related loan agreement with y a global master spv ltd an investment fund 
managed by y orkville advisors llc which were entered into in january and march 2012 respectively these costs have been 
shown separately as finance costs in the consolidated statement of comprehensive income
this facility has been drawn down further since the date of these financial statements see note 21
20 related party transactions and compensation of key management personnel
tm services limited “tm” is controlled by two directors of the company mr  peter blakey and mr  peter t aylor  included in the 
group’s operating loss is an amount of 196 1 10 2012 1 79 301 paid to tm in respect of charges for office accommodation and 
administration assistance the key management of the group comprises the directors of the company there are no transactions 
with the directors other than their remuneration and interests in shares share options and share warrants their total remuneration 
in each of the categories specified in ias 24 ‘related party disclosures’ is shown below
        2013 2012
         
shortterm employee benefits      401233 345159
sharebased payments      551094 374847
        952327 720006
further information about the remuneration of individual directors is shown in the directors’ report
20 control 
the company is under the control of its shareholders and not any one party 
21 subsequent events
on 24 january 2014 t ower announced that it had issued 19 250000 new ordinary shares at an average issue price of 42p to raise 
078 million net of costs via a modest drawdown on its equity financing facility “eff” with darwin strategic limited “darwin” 
on that same date t ower also issued 1573 181 new ordinary shares under contractual arrangements as part payment for services 
provided in the second half of 2013 at an average price of 3 1p per new ordinary share the value of those services settled by the 
issue of shares was fully accrued for in the consolidated statement of comprehensive income for 2013
between 1 january 2014 and 9 april 2014 t ower has issued a total of 487 4294 new ordinary shares following the exercise of 
options and warrants  
on 9 april 2014 the company announced a placing to raise 320 million before expenses at a placing price of 35 pence per 
share the acquisition of rift petroleum holdings limited for 550 million ordinary shares and a farmin to block 2b kenya for a 
consideration of 45 million cash and 9 0 million ordinary shares 
on 15 april 2014 options were granted over 75000000 ordinary shares at 35p per share further warrants over 4350986 new 
ordinary shares were exercised the total options and warrants outstanding are 169 806808
at 22 april 2014 t ower’s cash balance was approximately 44 million having paid cash calls in connection with the welwitschia 1 
well of approximately 64 million the issued share capital was 3768366678 ordinary shares a transformational period
overview
high
extensive preparation for the 
drilling of the welwitschia1 
well offshore namibia with 
operator repsol 
in july 2013 completed a wellsupported 
placing £9 0m gross and open 
offer £10m gross at 1 125p per share 
strengthening the company balance 
sheet and broadening our institutional 
shareholder base
overview
a transformational period 1
at a glance 2
focused on africa 3
business review
chairman’s statement 4
chief executive officer’s report 5
operational report 6
strategic report 8
new ventures 1 1
tower resources team 13
directors’ report  
directors’ biographies 14
directors’ report 16
financial statements
independent auditors’ report 20
consolidated statement of  
comprehensive income 21
consolidated and company statements  
of changes in equity  22 
consolidated statement of financial position 23
company statement of financial position 24
consolidated statement of cash flows 25
company statement of cash flows 26
notes to the financial statements 27
additional information
shareholder information  41
front cover rowan renaissance drillship
entered into a strategic alliance  
with p df  limited a bespoke 
geoscience group to 
provide an outsourc ed 
ex ploration department 
oex d
tm
 with access to a 
multidisciplinary team of 
geoscientists and state of the 
art software and technology
in october 2013 completed the 
acquisition of wilton petroleum 
limited the transaction was 
equivalent to a cash equity issue at 
18p per share and initiated our new 
ventures activity in madagasc ar 
£10m
strength ened inhouse  
new business capabilities with senior 
appointments of nigel quinton 
head of exploration and andrew 
matharu vp – corporate affairs 
annual report 2013  41 t ower resources plc
financ ial
statements
additional information
sh areho lder information
direc tors sec retary and advisors 
directors 
jeremy asher  
chairman
graeme thomson
chief executive officer
  
peter blakey
nonexecutive director
philip swatman
senior independent nonexecutive director 
peter taylor
nonexecutive director
c ompany secretary
ben h arber
c ompany number
05305345
registered office
one america square
crosswall 
london ec3n 2sg
nominated adviser and brokers
peel h unt llp
moor house 
120 london wall
london ec2y 5et 
joint broker 
gmp securities europe llp 
first floor  stratton house 
5 stratton street 
london w1j 8la
solicitors  
watson farley  williams llp
15 appold street
london ec2y 2hb
group auditors 
uhy h acker young llp
4 thomas more square
london e1w 1yw 
registrars 
c apita irg
bourne house
34 beckenham road 
beckenham 
kent br3 4tu
bankers 
barclays bank plc
level 27
one churchill place
london e14 5hp
design jacksonbonecouk printed in england by synergygroupukcom annual report 201 3
t ower resources plc
5 charterhouse square 
london 
ec1m 6px 
t el 44 20 7253 6639
email towertowerresourcescouk
wwwtowerresourcescouk


Summary:
 4  annual report 2013 t ower resources plc
cha irman ’s stat ement
bus in ess 
review
review
2013 and the first few months of 2014 have been busy and 
rewarding for our company a t this time last year  we had laid 
the foundations for revitalising the company by recruiting a 
new management team led by graeme thomson and we 
had increased our share in the n amibian licence 0010 to 30 
as part of a rcadia’s farmout process and which also brought 
repsol aboard as operator 
we knew that this would require raising further funds for our 
drilling commitment whether by farming out ourselves later or 
issuing further equity and we also wanted to build a pipeline 
of new opportunities to build further value for shareholders 
especially in the event of disappointment in namibia graeme 
brought nigel quinton and andy matharu onto the team in early 
2013 and we subsequently supplemented their efforts with an 
exclusive arrangement to use the pdf geoscience group to 
support our business development work
 
as the year progressed we found ourselves in a difficult 
environment for fundraising which was not helped by the results 
of hrt’s and chariot’s drilling programmes to the south of us 
in namibia although hrt’s wells encountered mature source 
rocks and chariot obtained useful information on reservoir sands 
neither made a commercial discovery the reasons for this had 
no bearing on the quality of our own prospects but sentiment 
regarding namibia was affected in an already poor funding 
market and we were obliged to raise some funds during the 
summer at a very low price of 1 1 25p per share we were keen to 
ensure that shareholders who preferred to stump up cash rather 
than being diluted had the opportunity to do so which is why we 
combined the placing with an open offer so that no shareholder 
would be denied the opportunity to participate achieving a 
successful placing in those circumstances was already a credit 
to the team and we began looking for a farmout partner for 
namibia in order to avoid issuing further equity at such prices
 
during the second half of the year we began to get traction 
on a range of new ventures after reviewing more than eighty 
distinct opportunities we were the preferred bidder in a tender 
in cameroon for a block whose work programme we are now 
negotiating and our acquisition of wilton petroleum brought 
us an entry point to madagascar we also looked at various 
kenyan opportunities settling on the block 2b opportunity with 
taipan as our share price improved around the yearend we 
also began to reconsider the relative merits of a farmout or 
equity funding but we decided that shareholder interests were 
best served by keeping our options open as long as possible 
we also began to explore the opportunity to acquire the rift 
assets in south africa and zambia in the end both the placing of 
shares at 35p to raise 32 million and the rift acquisition came 
together in march and april 2014 after the yearend and this 
also allowed us to go forward with the kenya 2b farmin so we 
have had an extraordinary few months after the yearend but 
the transactions we have completed are the result of a lot of hard 
work in 2013 as well 
a busy y ear 
st rat egy
our strategy remains unchanged to identify highimpact 
exploration opportunities and exploit them for our 
shareholders before their value is fully realised in the wider 
market i believe we have demonstrated during the past 
year that plenty of such opportunities exist in addition to the 
excellent opportunities that we are currently exploring with 
repsol on license 0010
goin g f orwa rd
it is obvious that a huge amount depends on the outcome 
of the welwitschia1 well that is starting to be drilled as this 
report is released if the well is successful then we will face 
a number of choices regarding how best to move forward 
both with the welwitschia structure and the other prospects 
on the licence if the well is not successful then we may face 
even more choices depending on what exactly the well 
reveals whatever we find you may rest assured that we will 
apply our usual principles of analysis and value to achieve 
the best outcome we can for shareholders and whatever 
we find i remain excited about the future for tower with the 
management team and portfolio of assets that our company 
now enjoys
jeremy a sher
chairman
22 april 2014