Additional information to the summary of AB „Klaipėdos nafta“ webinar

    Additional information to the summary of AB „Klaipėdos nafta“ webinar 

Responses to the questions which remained unanswered during the webinar are provided.On the 14nd of June 2023, AB Klaipedos nafta (KN) held an investor conference webinar (webinar), where KN Chief Executive Officer Darius Šilenskis, Chief Financial Officer Mindaugas Kvekšas and Chief Commercial Officer Mindaugas Navikas presented KN‘s corporate strategy for the period 2023-2050 Summary of AB Klaipedos nafta webinar (nasdaq.com).

Webinar recording is available online at: https://youtu.be/xnvgIlxymNc  

KN is providing answers to the submitted questions, which remained unanswered during the webinar (the original questions' language remains unaltered):

The previous strategy had a goal of becoming a shareholder of several other LNG terminals, is that still in the picture or such goal is not in the picture anymore

As it was mentioned during the webinar, by 2030 KN intends to expand floating LNG footprint in global markets, targeting 1-2 new investment opportunities and 3 additional O&M contracts.​

Are you worried that shaky ESG credentials of biofuels potentially could force the change in regulatory environment and thus undermine a part of your strategy?

The biofuels market is growing due to stricter regulations and increasing global demand. Fuel industry must prioritize the most sustainable types of biofuels to comply with regulations. As well, KN's clients trade worldwide, which means they need to adopt to the diversity of global biofuels market – as the credentials differ by markets or regions. 

Does KN have made specific big amount investment decision during 2023 - 2024 term except already mentioned Independence ship?A few more significant investments are at different stages of evaluation; however, as of this date investments decisions have not yet been taken.

Do you believe/plan that the "Independence" will be retrofitted for Hydrogen after LNG is no longer needed?The physical properties of hydrogen and LNG differ significantly, making it impossible to convert an FSRU (Floating Storage Regasification Unit) to handle hydrogen. The LNG terminal could be adapted to future energy needs for importing/exporting hydrogen or H2 carriers. However, this would require significant changes to the natural gas infrastructure.***KN strategy document is published here.

Mindaugas Kvekšas, Chief Financial Officer, [phone]