OREANDA-NEWS. December 3, 2010. JSC “Latvijas kugnieciba” (LK) publicly stated on November 12, 2010 that JSC “Ventspils nafta” (VN) is hiding relevant financial information from both market regulators and the company’s shareholders in the 2009 audited financial statements of VN as a parent company that were approved at the VN shareholders’ meeting of November 11, 2010. However, VN informs that these financial statements are prepared in compliance with requirements of the Annual Accounts Law of the Republic of Latvia.

While including information about its subsidiaries in the audited annual report of VN as the parent company for 2009, VN observed the provisions of the Annual Accounts Law of the Republic of Latvia, and has included such information in the appendix to the report as prescribed by the Annual Accounts Law of the Republic of Latvia.

VN additionally informs that a technical error is made in the audited consolidated reports of VN for 2008 and 2007 accordingly in appendices No.19 and No.18 as a result of translation in describing conditions of the long-term debt.

VN informs that pursuant to conditions of the long-term debt, Euromin Holdings (Cyprus) Limited (subsidiary of Vitol) shall repay the principal amount by October 15, 2016 at the latest or when Euromin Holdings (Cyprus) Limited receives payment for the sale of its interest in the VN share capital (whichever is the earlier). Previously it was incorrectly stated in the audited consolidated annual reports of VN for 2008 and 2007 that one of the cases of repayment time is when Euromin Holdings (Cyprus) Limited receives payment for the sale of its interest in "Ventspils nafta Terminвls" Ltd. (VNT) instead of VN. This is correctly stated in the annual report for 2009, which is the last and the latest audited annual report of VN. In addition, VN would like to draw attention to the fact that the long-term debt agreement has not been amended since the moment of concluding it, and there have been no delays in interest payments.