b'STAATSOLIE MAATSCHAPPIJ SURINAME N.V.NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019 (Continued)2.3 SUMMARY OF SIGNIFICANT ACCOUNTINGand the carrying amount of the asset and are POLICIESrecognizedinthestatementofprofitorlosswhenThefollowingarethesignificantaccounting theassetisderecognized.policies applied in preparing its consolidatedb. Investment in a joint venture financialstatements:TheGrouphasa25%participationinthea. Other intangible assets and goodwillSurinameGoldProjectJV(SurGold)LimitedIntangibleassetsacquiredseparatelyare partnership,whereastheGrouphasjointcontrolmeasuredoninitialrecognitionatcost.The overthelimitedpartnership.TheGroupinvestscostofintangibleassetsacquiredinabusiness monthlythroughcashcallstoSurGold.Thecombinationistheirfairvalueatthedateof Groupsinvestmentinthelimitedpartnershipisacquisition.Followinginitialrecognition,intangible consideredajointventureandisaccountedforassetswithdefinitelivesarecarriedatcostless usingtheequitymethod.anyaccumulatedamortization(calculatedon Undertheequitymethod,theinvestmentintheastraight-linebasisovertheirusefullives)and jointventureisinitiallyrecognizedatcost.Theaccumulatedimpairmentlosses,ifany. carryingamountoftheinvestmentisadjustedIndefinitelivedintangibles,suchasgoodwill, torecognizechangesintheGroupsshareofarenotamortized,insteadtheyaretestedfor net assets of the limited partnership since the impairmentannuallyasaminimum,orwhenthere acquisitiondate.are indicators of impairment. ThestatementofprofitorlossreflectstheGroupsWhentheGroupacquiresabusiness,itassesses share of the results of operations of the limited thefinancialassetsandliabilitiesassumedfor partnership.AnychangeinOCIoftheinvesteeisappropriateclassificationanddesignationin presentedaspartoftheGroupsOCI.Inaddition,accordancewiththecontractualterms,economic whentherehasbeenachangerecognizedcircumstances and pertinent conditions as at thedirectlyintheequityofthelimitedpartnership,theacquisitiondate.Totheextentthatthecostof Grouprecognizesitsshareofanychanges,whenacquiringanequityinvestmentexceedsthefair applicable,inthestatementofchangesinequity.valueofthenetassetsacquired,theexcessis TheaggregateoftheGroupsshareofprofitorrecordedasgoodwill.Currently,theGroupcarries lossofthelimitedpartnershipisshownonthefacegoodwillonthebooksrelatedtotheacquisitionof ofthestatementofprofitorlossoutsideoperatingGOw2whichoccurredinfiscalyear2011. profitandincludedincompaniesprofitorlossTheusefullivesofintangibleassetsareassessed beforetax.Thefinancialstatementsofthelimitedaseitherfiniteorindefinite. partnership are prepared for the same reporting period as the Group. Intangibleassetswithfinitelivesareamortized Afterapplicationoftheequitymethod,theGroupovertheusefuleconomiclifeandassessed determineswhetheritisnecessarytorecognizeforimpairmentwheneverthereisanindication animpairmentloss,ifany,onitsinvestmentinthattheintangibleassetmaybeimpaired.The thelimitedpartnership.TheGroupdeterminesatamortizationperiodandtheamortizationmethod eachreportingdatewhetherthereisanyobjectiveforanintangibleassetwithafiniteusefullifeis evidencethattheinvestmentinthelimitedreviewedatleastattheendofeachreporting partnershipisimpaired.Ifthisisthecase,theperiod. Changes in the expected useful life orGroup calculates the amount of impairment as the the expected pattern of consumption of futuredifferencebetweentherecoverableamountoftheeconomicbenefitsembodiedintheassetare jointventureanditscarryingvalueandrecognizesconsideredtomodifytheamortizationperiod thelossasShareofprofitoftheparticipationinaormethod,asappropriate,andaretreatedas JVinthestatementofprofitorloss.changesinaccountingestimates.Theamortizationexpenseonintangibleassetswithfinitelivesis c. Investment propertiesrecognizedinthestatementofprofitorlossintheexpensecategorythatisconsistentwiththe Investmentpropertiesarecarriedathistoricalcostfunction of the intangible assets. lessaccumulateddepreciationandimpairment,whereapplicable.Investmentpropertiesarede-Gains or losses arising from derecognition ofrecognizedeitherwhentheyhavebeendisposedanintangibleasset,ifany,aremeasuredasthe of(i.e.,atthedatetherecipientobtainscontrol)ordifferencebetweenthenetdisposalproceeds whentheyarepermanentlywithdrawnfromuse42 STAATSOLIE 2019 ANNUAL REPORT'