130Deferred taxDeferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date where transactions or events have occurred at that date that will result in an obligation to pay more, or a right to pay less or to receive more tax. The exception to this is that deferred tax assets are recognised only to the extent that the Directors consider that it is more likely than not that there will be suitable taxable profits from which the future reversal of the underlying timing differences can be deducted.B. Fixed asset investmentsThe net book value of unlisted fixed asset investments comprise: 2011 $000Cost At 1 January 6,769Addition 28Repayment of share capital by a subsidiary (6,680)At 31 December 117Amounts provided At 1 January -At 31 December -Net book amount At 31 December 117Company financial statementsNotes to the Company financial statements continuedDeferred tax is measured on an undiscounted basis at the tax rates that are expected to apply in the periods in which timing differences reverse, based on tax rates and laws enacted or substantively enacted at the balance sheet date.

JKX Oil & Gas plc Annual Report 2011131At a glance01-17Board statements18-23Operational review24-36Financial review37-47CSR review48-61Directors' reports62-83Financial statements84-136At 31 December 2011, the principal subsidiary undertakings of JKX Oil & Gas plc were: % held Country of (ordinary incorporation andName Business shares) area of operationAdygea Gas B.V. Holding 100.00 NetherlandsBaltic Catering Services Oil & gas services 100.00 UkraineBaltic Energy Trading Limited* Oil & gas exploration and production 100.00 UKEastern Ukrainian Pipeline Ltd Oil & gas services 100.00 UkraineEuroDril Limited Oil & gas exploration, production and services 100.00 UKJKX Bulgaria Ltd* Oil & gas exploration and production 100.00 UKJKX Bulkan BG EAD Oil & gas exploration and production 100.00 BulgariaJKX Carpathian BV Oil & gas exploration and production 100.00 NetherlandsJKX Hungary BV Oil & gas exploration and production 100.00 NetherlandsJKX (Navtobi) Limited Oil & gas exploration and production 100.00 CyprusJKX (Nederland) B.V. Finance and Holding 100.00 NetherlandsJKX Ondava BV Oil & gas exploration and production 100.00 NetherlandsJKX Rusland BV Finance 100.00 NetherlandsJKX Services Limited* Services 100.00 UKJKX Slovakia BV Oil & gas exploration and production 100.00 NetherlandsJKX Ukraine BV Finance and Holding 100.00 NetherlandsJP Kenny Exploration & Production Limited* Finance and Holding 100.00 UK Kharkiv Investment Company Holding 100.00 UkrainePAGE Gas Ltd* Oil & gas exploration and production 100.00 UKPoltava Gas B.V. Holding 100.00 NetherlandsPoltava Petroleum Company Oil & gas exploration and production 100.00 UkraineShevchenko Farm Land lease 62.00 UkraineSouthern Russia Gas B.V. Finance 100.00 NetherlandsSouthern Russia Gas Coöperatief W.A Finance and Holding 100.00 NetherlandsTrans-European Energy Services Limited* Oil & gas exploration, production and services 100.00 UKYuzhgazenergie LLC Oil & gas exploration, production and services 100.00 Russia* Held directly by JKX Oil & Gas plc. All other companies are held through subsidiary undertakings.In the opinion of the Directors the carrying value of the investments is supported by their underlying net assets.