Klaipedos Nafta - Notification on material event

AB Klaipėdos Nafta preliminary activity and revenue results for the August 2017

Transhipment during August 2017 in Klaipėda and Subačius oil terminals of AB Klaipėdos nafta (hereinafter – the Company) remained high, 627 thousand tons of petroleum products were reloaded into its storage tanks during August 2017, i.e. grater by 43.8 per cent compared to August 2016, when 436 thousand tons were reloaded. The increased number of clients and their transit cargos reflected the increase in transhipment volume.

During the first seven months of 2017 the Company in total reloaded 4,559 thousand tons of petroleum products into its storage tanks or less by 15.8 per cent compared to the same period of 2016 when 5,413 thousand tons were reloaded. The decline in transhipment volume is related with reduction of transit cargos from Belorussia refineries, which are currently recovering and new transhipment volumes from alternative sources was attracted.

These changes are related with great transhipment results recorded in the first half of 2016 significantly reduced in the second half. In the spring of 2017, transhipment volumes started its recovery and growth reflected by the changes in geopolitical situation and influence of the new clients’ petroleum products.

In August 2017 in the Liquefied Natural Gas (LNG) terminal of the Company 2,176 thousand MWh of the natural gas were re-gasified and supplied to the natural gas transmission system, while in August 2016 – 840 thousand MWh. During the first eight months of 2017 the Company in total re-gasified and reloaded 8,712 thousand MWh of the natural gas (during the same period of 2016 – 11.059 thousand MWh). The LNG terminal activity level is lower in relation with lower capacities ordered by the terminal users.

The preliminary sales revenues for August 2017 of Klaipėda and Subačius oil terminals comprise EUR 3.7 million and are higher by 76.2 percent compared to the same period of 2016 (EUR 2.1 million). The preliminary sales revenues for January- August 2017 of the Company’s oil terminals comprise EUR 24.5 million and are less by 14.4 per cent compared to the same period of 2016 (EUR 28.0 million).

The preliminary sales revenues of the Company’s LNG Terminal for August 2017 comprise EUR 5.6 million (August 2016 – EUR 5.5 million). These revenues comprise from the part of security supplement dedicated for compensation of LNG terminal exploitation expenses, as well as regasification and reloading tariffs. The preliminary revenues of the LNG terminal for the first eight months of 2017 comprise EUR 46.1 million and increased by 2.4 per cent compared to the same period of 2016 (EUR 45.0 million).

Total preliminary sales revenues of the Company for the first eight months of 2017 comprise EUR 70.6 million, i.e. 3,3 per cent lower compared to same period 2016 (EUR 73,0 million).

Petroleum products transshipment and LNG re-gasification and reloading:

	August			January – August
	2017	2016	Change, %	2017	2016	Change, %
Petroleum products transshipment, thousand tons	627	436	43.8%	4,560	5,413	-15.8%
LNG re-gasification and reloading, thousand MWh	2,176	840	159.0%	8,713	11,059	-21.2%

 

Petroleum products transshipment and LNG re-gasification and reloading in 2017 by month:

	January	February	March	April	May	June	July	August
Petroleum products transshipment, thousand tons	625	561	368	435	668	605	671	627
LNG re-gasification and reloading, thousand MWh	784	105	652	1,436	1,233	659	1,668	2,176

 

Preliminary revenues of the Company, EUR million:

	August			January – August
	2017	2016	Change, %	2017	2016	Change, %
Oil terminals’ activity	3.7	2,1	76.2%	24.5	28.0	-14.4%
LNG terminal activity	5.6	5.5	1.8%	46.1	45.0	2.4%
Total:	9.3	7.6	22.4%	70.6	73.0	-3.3%

 

         Marius Pulkauninkas, Chief Financial Officer, 8 46 391 763