Yinson Annual Report 2018

16. PROPERTY, PLANT AND EQUIPMENT (CONTINUED) (a) Additions to property, plant and equipment which were acquired during the financial year were as follows: Group Company 2018 2017 2018 2017 RM’000 RM’000 RM’000 RM’000 Cash payment 443,489 1,337,961 4,168 135 Movement in property, plant and equipment creditors 61,834 211,502 – – 505,323 1,549,463 4,168 135 (b) The carrying amounts of property, plant and equipment pledged to financial institutions for banking facilities granted to the Group and lease assets pledged to the related finance lease liabilities as disclosed in Note 32 and Note 33(b) at reporting date were as follows: Group Company 2018 2017 2018 2017 RM’000 RM’000 RM’000 RM’000 Vessels and barges 4,209,844 4,516,624 – – Motor vehicles 1,644 1,606 717 833 4,211,488 4,518,230 717 833 (c) Included in vessels, tugboats and barges in the previous financial year is a vessel under construction with carrying amount of approximately RM3,595,269,000. Group 2018 2017 RM’000 RM’000 At 1 February 3,595,269 1,930,250 Additions 491,350 1,539,049 Reclassification (3,658,540) – Exchange differences (428,079) 125,970 At 31 January – 3,595,269 (d) The Group’s plant and equipment include borrowing costs arising from bank loans borrowed specifically for the purpose of the construction of a vessel. During the financial year, the borrowing costs capitalised as cost of plant and equipment amounted to RM52,923,000 (2017: RM85,898,000). (e) The FPSO contracts include options for the charterers to purchase the respective FPSO vessels or to extend their charter periods beyond the initial firm lease period. The purchase option values are based on declining agreed prices, which are in excess of the current net book values of the FPSO vessels as at the reporting date. Notes to the Financial Statements (Cont’d) For the financial year ended 31 January 2018 142 Yinson Holdings Berhad Annual Report 2018 Accountability