Decision on AB Klaipedos nafta LNG Regasification Revenue for the Year 2023

Source: 5/12/2022, Location: Not categorized

AB Klaipedos nafta (hereinafter – the Company) hereby informs that the National Energy Regulatory Council (hereinafter – the Council) on 12 May 2022 adopted the decision on the upper limit for revenue that the Company is allowed to earn from liquefied natural gas (hereinafter – LNG) regasification activities for 2023, which is 44.3 percent higher than 2022 (EUR 31.4 million) and amounts to EUR 45.3 million.

The growth of LNG regasification revenue upper limit for 2023 compared to 2022 is mainly influenced by: 1) the forecasted increase in the cost of emission allowances due to higher price and growing demand as a result of higher utilization of LNG terminal; 2) the increase of LNG terminal costs due to the planned and periodically performed compulsory repairs, compensation of which shall be spread evenly over 2023 - 2024 period; 3) in the year 2022 the repayment of surplus of collected income earned in 2020 reduced the revenue upper limit for LNG regasification activities by EUR 7.1 million in 2022.

Included in the upper limit of LNG regasification revenue for 2023 is the estimated return on investment in LNG terminal infrastructure in the amount of EUR 1.6 million (EUR 1.7 million in 2022), which is calculated applying the forecasted rate of return of 4.14 percent, the same that was approved by the Council for 2022.

Gulf Oil and Gas
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