Klaipėda LNG Terminal Operator (hereinafter - Company) informs natural gas market participants about the planned announcement of the commencement of allocation of LNG Terminal long-term LNG regasification capacities for a period of 2025-2032 and 2033-2044.

Taking into account the provisions of the approved Regulations, the Company informs about the planned announcement of the invitation to submit applications for the acquisition of LNG Terminal long-term LNG regasification capacities:

• For the period starting from Y2025 until Y2032 (inclusive) total 9,000,000,000 kWh or 9 Conventional size LNG cargoes per each consecutive Terminal gas year will be allocated.
• For the period starting from Y2033 until Y2044 (inclusive) total 28,000,000,000 kWh or 28 Conventional size LNG cargoes per each consecutive Terminal gas year will be allocated.

Start date of long-term LNG regasification capacity allocation: 15th September 2023.
The opening date and time for request submissions: 15th September 2023 at 13:00 EET.
The closing date and time for request submissions: 5th October 2023 at 13:00 EET.

Main information on the long-term capacity allocation procedure is provided here.

AB Klaipėdos nafta as LNG Terminal Operator (hereinafter – the Operator), announces that requests for Klaipeda LNG Terminal two spot cargoes capacities allocation are being accepted as of 1st of September, 2023 from 13:00 EET. With this announcement the Operator is keen to allocate capacities, which each cargo corresponds of one Conventional size cargo, scheduled on November 30 – December 1 2023 and December 20-21 2023 with preliminary regasification schedule see below.
 
The requests will be accepted till 13:00 EET on 1^st October, 2023 or until the first dully submitted request for Spot Cargo Capacity is received by the Operator. Please note that in accordance with the Regulations for use of Klaipeda LNG Terminal, Spot cargo Capacity Allocation is performed on a First-Come-First-Served principle.
 
The main conditions of Spot Cargo Capacity Allocation are provided in the Regulations for the use of Klaipeda LNG terminal. The request shall be submitted by e-mail [email protected]
 

• Size of spot cargo: 940 000 000 kWh +- 5%. Requests for different size of cargo are considered, however the priority is given to Conventional size of cargo.
• Preliminary Spot cargo LNG regasification capacity usage period: 

1. First cargo, which delivery date is November 30 – December 1 2023, regasification period November 1 – December 31 2023.
2. Second cargo, which delivery date is December 20 – December 21 2023, regasification period December 6 2023 – January 8 2024.

 
Final monthly schedule will be announced at the time of drawing up the Monthly Schedule.

Preliminary regasification schedule

The growing demand for liquid energy terminal services, high volumes of LNG terminal operations, and a breakthrough in international LNG projects have led to a robust financial performance for KN in the first half of 2023. During the period of January-June 2023, KN Group generated revenues of EUR 42,4 million, marking an increase of 18% compared to the previous year. The Group's net profit for the first half of this year amounted to EUR 8,1 million, a significant improvement compared to the loss of EUR 13,8 million incurred a year ago.
 
Throughout the first six months of 2023, KN Group achieved an adjusted net profit of EUR 3,3 million (compared to EUR 3 million in the previous year), respectively the Group's EBITDA for this year reached EUR 16,7 million (compared to EUR 16,9 million in 2022).
 
"We are delighted with the strong performance of our liquid energy products and commercial LNG operations in the first half of the year, both of which experienced growth in EBITDA and profit. The results for this period reflect our enduring commitment to transforming the company—ensuring control of energy costs, reducing operational emissions, and fostering a diversified portfolio of activities in the liquid energy terminals. Furthermore, our efforts over the past few years in developing our international LNG business are already yielding tangible results and contributing positively to the company's profit," stated Darius Šilenskis, KN CEO.
 
During the first half of this year, in the segment of liquid energy products, both light oil products and biofuel transshipment increased. Thanks to a successfully diversified portfolio, KN managed to maintain its operational volumes at a similar level as in 2022, while the cargo volumes of other competing terminals in the Baltic countries decreased. It is estimated that the share of the transshipment market for the Klaipėda liquid energy product terminal has increased from 25 to 39 percent this year.
 
Klaipėda LNG terminal continues to maintain record-breaking operational volumes - during the first half of 2023, regasification and reloading volumes were 17.3 TWh, which is 32 percent higher than the same period last year. 87 percent of natural gas transported to Lithuania in the months of January to June of 2023 was imported through Klaipėda LNG terminal.
 
In the commercial LNG segment, the KN Group earned 0,5 million euros of net profit during the first 6 months of this year (compared to a net loss of 84 thousand euros in the same period last year). The performance of this segment was influenced by the increased demand in global markets for consultancy services in developing LNG terminal projects, as well as the successful conclusion and implementation of commercial operator service contracts in Germany.
 
"We anticipate that our efforts so far will provide a solid foundation for the rest of the year. The end of the first half was marked by a significant milestone for us – the adoption of KN's long-term strategy. Within the new strategy we clearly outline the directions of our activities and ambitions, both in the main business segments and in committing to achieving complete climate neutrality in our operations by 2050. Therefore, in the second half of the year, we will focus on unfolding the strategy and successfully launching its implementation, while continuing to concentrate on enhancing value for our customers and operational excellence," emphasized the CEO of KN.

KN currently operates three liquid energy product terminals in Lithuania and is the operator of LNG terminals in Lithuania and Brazil. The company also provides commercial operation services for two floating LNG terminals in Germany.

After the energy terminal operator KN (AB Klaipėdos Nafta) has concluded annual Klaipėda LNG terminal capacity allocation procedure, the LNG terminal's 6 terawatt-hour (TWh) regasification capacity for the 2024 terminal gas year has been allocated to four customers from Lithuania and Estonia.

In 2024, a total of about 34 TWh of natural gas is expected to be regasified, cargoes to be delivered by 34 conventional LNG carriers. Most of the natural gas (24 TWh) will be delivered to customers from Lithuania, Latvia and Poland, which booked long-term LNG terminal capacity last year. A further 4 TWh of capacity from the spot market will be allocated over the next year, based on the need to import natural gas to ensure the isolated operation of the electricity system and, in the absence of such a need, to meet natural gas demand on a case by case basis.

"The global natural gas market is still full of uncertainties, therefore it is of utmost importance that in such turbulent times Klaipėda LNG terminal operates smoothly and almost at maximum capacity, and KN fully ensures the provision of regasification services in line with the needs of the regional market. A total of 6 customers will use the LNG terminal services next year. We are delighted that the capacity allocation model, which was updated in 2022, has contributed to the stability in the use of the LNG terminal and allows the terminal users to plan their cargo deliveries accurately, thus ensuring a reliable natural gas supply at the most competitive price on the market for the customers in Lithuania and the surrounding countries", - says Mindaugas Navikas, Chief Commercial Officer of KN.

From the beginning of the year until 23 July, the LNG terminal has received 20 large scale LNG carriers, and the same number of LNG carriers is planned to be received by the end of the year. During this period, 2.9 million cubic metres of LNG were delivered, with the majority (48%) coming from Norway. In 2023 natural gas was also imported from the USA, Nigeria and Algeria. It is planned that about 37 TWh of natural gas will be regasified at Klaipėda LNG terminal this year.

By comparison, in 2022, 46 LNG carriers brought in almost 5 million cubic metres of LNG, with the majority (65%) coming from the USA. Last year, the LNG terminal regasified a total of 32.1 TWh of natural gas.

As of 1 May 2022, each LNG terminal user, i. e., companies importing natural gas through Klaipėda LNG terminal, pays the same fixed price for LNG terminal services. Meanwhile, the security supplement paid by natural gas consumers in Lithuania does not currently include the costs of maintaining the LNG terminal.