Urals Energy Public Company Limited Update on group structure (1319D)

TIDMUEN

RNS Number : 1319D

Urals Energy Public Company Limited

24 April 2017

 
                             Dissemination of a Regulatory Announcement 
                              that contains inside information according 
                              to REGULATION (EU) No 596/2014 (MAR). 
 

24 April 2017

Urals Energy Public Company Limited

("Urals Energy", the "Company" or the "Group")

Update on group structure

The Board of Urals Energy (AIM:UEN), the independent exploration and production company with operations in Russia, is pleased to announce that it has completed an internal reorganisation of its subsidiaries, which is intended to streamline the management of the Group and allow the Group to take advantage of modest tax advantages.

As part of the internal reorganisation, GJSC Petrosakh, the Group's operating company on Sakhalin Island and principal profit and cash generator, has been merged with Urals Energy LLC, the Russia-incorporated management company for all of the Group's operations, which is essentially a cost centre.

As a result of this merger, the Board believes that the Group will be able to offset the costs of Urals Energy LLC against the future profits of GJSC Petrosakh's operations for tax purposes. Previously, Russian tax rules have not allowed the Group to charge management fees between Group companies and this has added to the tax losses in Urals Energy LLC.

- Ends -

For further information, please contact:

 
 Urals Energy Public Company 
  Limited 
 Andrew Shrager, Chairman          Tel: [phone] 
  Leonid Dyachenko, Chief                     0300 
  Executive Officer 
 Sergey Uzornikov, Chief       www.uralsenergy.com 
  Financial Officer 
 
 
 Allenby Capital Limited 
  Nominated Adviser and Broker 
 Nick Naylor / Alex Brearley            Tel: +44 (0) 20 
                                              3328 5656 
                                 www.allenbycapital.com 
 

This information is provided by RNS

The company news service from the London Stock Exchange

END

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April 24, 2017 07:12 ET (11:12 GMT)