Klaipedos Nafta AB - Notification on material event

Regarding signing of the contract on lease, operation and maintenance (repair) of the floating liquefied natural gas storage and regasification unit

On 2 March 2012, AB Klaipedos Nafta has signed 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. This contract will enter into force after its approval by the general
meeting of shareholders of AB Klaipėdos Nafta. 


         Mantas Bartuška, Finance Director, 8 46 391 763