NOTE 31 – SHARE BASED PAYMENTS continued NOTE 32 – RELATED PARTY TRANSACTIONS  NOTE 33 – FINANCIAL RISK MANAGEMENT a) Financial Risk Management Policies NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Upon vesting, and after a certain administrative period, the RSUs are converted to ordinary shares of the Company. Once converted to ordinary shares, the RSUs are no longer restricted. As the daily closing price of the Company’s  ordinary shares approximates its estimated fair value at that time, the Company used the grant date closing price to  estimate the fair value of the RSUs.  The total share based compensation expense for the years ended 31 December 2014 and 2013 was $1.9 million and  $1.6 million, respectively.  N Martin was previously a partner of Minter Ellison Lawyers and is now a consultant for Minter Ellison Lawyers as  well as a Director of the Company. Minter Ellison Lawyers were paid a non material amount for legal services for the  year ended 31 December 2014 and $0.2 million for legal services for the years ended 31 December 2013.  The Group is exposed to a variety of financial market risks including interest rate, commodity prices, foreign  exchange and liquidity risk. The Group’s risk management strategy focuses on the volatility of commodity  markets and protecting cash flow in the event of declines in commodity pricing. The Group utilises derivative  financial instruments to hedge exposure to fluctuations in interest rates and commodity prices. The Group’s  financial instruments consist mainly of deposits with banks, short term investments, accounts receivable,  derivative financial instruments, finance facility, and payables. The main purpose of non-derivative financial  instruments is to raise finance for the Group operations.  Financial risk management is carried out by Management. The Board sets financial risk management policies  and procedures by which Management are to adhere. Management identifies and evaluates all financial risks  and enters into financial risk instruments to mitigate these risk exposures in accordance with the policies and  procedures outlined by the Board.  Interest rate risk is managed with a mixture of fixed and floating rate cash deposits. As at 31 December 2014  and 2013 approximately nil of Group deposits are fixed. It is the policy of the Group to keep surplus cash in  interest yielding deposits.  - 97 -  ii) Financial Risk Exposure and Management  i) Treasury Risk Management  RSUs awarded during the year ended 31 December 2013: Grant Date  Number of RSUs  Estimated Fair Value  (US$’000)  Vesting Conditions  19 April 2013  863,746  $ 789  25% issuance date, 25% first three anniversaries  28 May 2013  374,248  354  1,237,994  $ 1,143 