Page 121 - HRC_AR2020

HENGYUAN REFINING COMPANY BERHAD I 119

15 leases (continued)
(v) Movement in lease payables and changes in lease liabilities arising from leasing activities is as below:
2020 2019
rM’000 rM’000
At 1 January/effects of transitioning to MFRS 16 30,757 36,398
Repayment of principal portion of lease liabilities (8,376) (9,025)
Non-cash changes:
Additions 119 11,589
Modification of lease liabilities - (9,426)
Interest expense (Note 8) 1,018 1,545
Effect of exchange rate changes - (324)

At 31 December 23,518 30,757

16 inVentories
2020 2019
rM’000 rM’000
Crude oil 624,327 962,175

Petroleum products 419,111 498,700
Inventories written down (28,110) -
391,001 498,700

Materials 36,361 30,581
Allowance for inventories - (369)
36,361 30,212
1,051,689 1,491,087

Included within crude oil and petroleum products is stock in transit as at 31 December 2020 of RM339,254,000
(2019: RM361,849,000).

Inventories as at reporting date are pledged in favour of a vendor to secure credit lines for crude oil and product purchases.

17 traDe receiVaBles
2020 2019
rM’000 rM’000
Trade receivables 537,963 714,289
Less: Provision for impairment (24,512) (426)
Trade receivables 513,451 713,863

The credit terms range between 15 to 30 days (2019: 15 to 30 days).