Amounts in US$ '000	Assets as per statement of financial position
	2018		2017
Financial assets at fair value through profit or loss
Derivative financial instrument assets		27,539		-
Cash and cash equivalents		53,794		44,123
		81,333		44,123
Other financial assets at amortized cost
Trade receivables		16,215		19,519
To be recovered from co-venturers (Note 33)		1,819		2,455
Other financial assets (a)		11,468		43,488
Cash and cash equivalents		73,933		90,632
		103,435		156,094
Total financial assets		184,768		200,217

(a)

Non-current other financial assets relate to contributions made for environmental obligations according to Colombian and Brazilian government regulations. Current other financial assets corresponds to short-term investments with original maturities up to twelve months and over three months. At 31 December 2017, Current other financial assets also included the security deposit granted in relation to the purchase of Argentinian assets (Note 35.3).

	Liabilities as per statement of financial position
Amounts in US$ '000	2018		2017
Liabilities at fair value through profit and loss
Derivative financial instrument liabilities		-		19,289
		-		19,289
Other financial liabilities at amortized cost
Trade payables		69,142		52,557
Payables to related parties (Note 33)		-		31,184
Payables to LGI (Note 35.1)		29,509		-
To be paid to co-venturers (Note 33)		8,449		10,015
Borrowings		447,002		426,204
		554,102		519,960
Total financial liabilities		554,102		539,249

The credit quality of financial assets that are neither past due nor impaired can be assessed by reference to external credit ratings (if available) or to historical information about counterparty default rates:

Amounts in US$ '000	2018		2017
Trade receivables
Counterparties with an external credit rating (Moody’s)
B2		1,196		70
Ba2		5,511		-
Ba3		3,734		8,788
Baa3		-		3,614
Counterparties without an external credit rating
Group1 (a)		5,774		7,047
Total trade receivables		16,215		19,519

All trade receivables are denominated in US Dollars, except in Brazil where are denominated in Brazilian Real.

Amounts in US$ '000	2018		2017
Counterparties with an external credit rating (Moody’s, S&P, Fitch, BRC Investor Services)
A1		1,315		553
A2		595		298
A3		765		63,853
Aaa		-		15,040
Aaa-mf		52,563		-
Aa1		4,732		-
Aa3		17,431		11,401
AAA		14,307		19,634
B2		-		31
Ba1		4,033		18
Ba2		1		7
Baa1		13,903		307
Baa1+		4,138		-
Baa2		6,534		4,078
Ba3		212		2,815
B3		-		-
BBB		3,199		15,064
Counterparties without an external credit rating		15,448		45,123
Total		139,176		178,222

(a)

The remaining balance sheet item ‘cash and cash equivalents’ corresponds to cash on hand amounting to US$ 19,000 (US$ 21,000 in 2017).

The table below analyses the Group’s financial liabilities into relevant maturity groupings based on the remaining period at the balance sheet to the contractual maturity date. The amounts disclosed in the table are the contractual undiscounted cash flows.

Amounts in US$ '000	Less than 1 year		Between 1 and 2 years		Between 2 and 5 years		Over 5 years
At 31 December 2018
Borrowings		39,545		38,648		82,875		452,625
Trade payables		68,862		280		-		-
Payables to LGI (Note 35.1)		15,000		15,000		-		-
		123,407		53,928		82,875		452,625
At 31 December 2017
Borrowings		27,625		27,625		82,875		480,250
Trade payables		52,557		-		-		-
Payables to related parties		7,331		2,068		27,087		-
		87,513		29,693		109,962		480,250

Accounting policies for financial instruments have been applied to classify as either: loans and receivables, held-to-maturity, available-for-sale, or fair value through profit and loss. For financial instruments that are measured in the statement of financial position at fair value, IFRS 13 requires a disclosure of fair value measurements by level according to the following fair value measurement hierarchy:

Level 2 - Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (that is, as prices) or indirectly (that is, derived from prices).

Level 3 - Inputs for the asset or liability that are not based on observable market data (that is, unobservable inputs).

This note provides an update on the judgements and estimates made by the Group in determining the fair values of the financial instruments since the last annual financial report.

The following table presents the Group’s financial assets and financial liabilities measured and recognized at fair value at 31 December 2018 and 2017 on a recurring basis:

Amounts in US$ '000	Level 1		Level 2		At 31 December 2018
Assets
Cash and cash equivalents
Money market funds		53,794		-		53,794
Derivative financial instrument liabilities
Commodity risk management contracts		-		27,539		27,539
Total Assets		53,794		27,539		81,333

Amounts in US$ '000	Level 1		Level 2		At 31 December 2017
Assets
Cash and cash equivalents
Money market funds		44,123		-		44,123
Total Assets		44,123		-		44,123
Liabilities
Derivative financial instrument liabilities
Commodity risk management contracts		-		19,289		19,289
Total Liabilities		-		19,289		19,289

The Group did not measure any financial assets or financial liabilities at fair value on a non-recurring basis as at 31 December 2018.

The Group also has a number of financial instruments which are not measured at fair value in the balance sheet. For the majority of these instruments, the fair values are not materially different to their carrying amounts, since the interest receivable/payable is either close to current market rates or the instruments are short-term in nature.

Borrowings are comprised primarily of fixed rate debt and variable rate debt with a short-term portion where interest has already been fixed. They are classified under other financial liabilities and measured at their amortized cost.

The fair value of these financial instruments at 31 December 2018 amounts to US$ 445,582,00

(

US$ 425,118,000 in 2017). The fair values are based on cash flows discounted using a rate based on the borrowing rate of 6.94% (

6.90

% in 2017) and are within level 2 of the fair value hierarchy.