Klaipedos Nafta AB - Notification on material event

Regarding draft decisions for the extraordinary general meeting of shareholders of AB KLAIPĖDOS NAFTA

On agenda items of the extraordinary general meeting of shareholders of AB
KLAIPĖDOS NAFTA to be held on 26-03-2012: Ab Klaipėdos Nafta 

1. On the approval of the decision of the Board of AB Klaipėdos Nafta to
continue the implementation of the LNG terminal project and to conclude a
contract with the winner of the public procurement tender “Acquisition of a
Floating Liquefied Natural Gas Storage and Regasification Unit”. 

To approve of the decision of the Board of AB Klaipėdos Nafta to continue the
implementation of the LNG terminal project and to conclude a contract on lease,
operation and maintenance (repair) of the floating liquefied natural gas
storage and regasification unit (hereinafter, the FSRU) for 10 years with the
right to redeem the FSRU with Höegh LNG Ltd., the winner of the public
procurement tender of AB Klaipėdos Nafta “Acquisition of a Floating Liquefied
Natural Gas Storage and Regasification Unit”, providing that the term of
delivery of the FSRU to Klaipėda Port shall be from 1 September 2014 to 1
December 2014, setting a fixed price for lease of the FSRU, whereas the FSRU
operation, maintenance (repair) costs shall be reimbursed on occurrence,
however such costs will not exceed the agreed amount for the first two years,
therefore, the total FSRU lease and operation costs for the first year,
including remuneration for the crew and other payments, which will be indexed
annually according to the consumer price index, will not exceed USD 156,200
(VAT excluded) per day, and also providing that AB Klaipėdos Nafta will have to
submit to the FSRU supplier a warranty for payment of the amount not exceeding
USD 50,000,000, for the issue of which AB Klaipėdos Nafta will have to pledge
its property (funds in bank accounts, receivables) for the benefit of the
person that issues the warranty. 

2. On the amendment of the Articles of Association of AB Klaipėdos Nafta.

To amend the below paragraphs of the Articles of Association of AB Klaipėdos
Nafta to be read as follows: 

2.1. The main objectives of the Company shall be to ensure efficient and
effective operation of the Oil Terminal, oil and petroleum product pipelines as
well as other facilities that are operated by the Company, to rationally use
assets of the Company, to render services to the Company's customers as well as
to carry out any other activities with the aim of enhancing the interests of
the Company and its shareholders. Furthermore, the objective of the Company
shall be to install and equip a liquefied natural gas terminal and to prepare
it for operation, to ensure cost-effective and rational operation of the
liquefied natural gas terminal and/or its subsequent transfer to the operator
of the natural gas transmission system controlled by the Republic of Lithuania. 

To approve the enclosed new version of the Articles of Association of AB
Klaipėdos Nafta (ENCLOSED). 

To authorise the General Manager of AB Klaipėdos Nafta to sign and to register
with the Register of Legal Entities the new version of the Articles of
Association of the company. 


         Mantas Bartuška, Finance Director, 8 46 391 763

Attachments:

4 3Istatai KN2012-03-01 EN.pdf