OREANDA-NEWS. August 31, 2009. The consolidated unaudited net turnover of the public JSC Ventspils nafta Group in the first half-year of 2009 has reached LVL 39 million, and net profit - LVL 0.9 million. These results entirely correspond to the budget forecasts for 2009 published before by JSC Ventspils nafta, anticipating the consolidated net turnover of the Group to be at least LVL 60 million, and the net profit - at least LVL 2 million.

"The results for the first six months of 2009 show that business for all companies of JSC Ventspils nafta Group is stable and is in line with the financial results planned in the budget, at a time when JSC Ventspils nafta Group has focused on the management of investments in the core transit business segment. The activity of JSC Ventspils nafta Group companies in the international market has been impacted by the global economic in the reporting period, yet they have been able to take balanced actions to deal with the complex situation," emphasizes Chairperson of Management Board for JSC Ventspils nafta Olga Petersone.

The JSC Ventspils nafta subsidiary Ventspils nafta terminals Ltd has transshipped in total more than 6.4 million tons of crude oil and petroleum products in the first six months of 2009. In terms of long-term prospects, the company continues to strengthen its positions as the most modern complex of crude oil and petroleum product transshipment in the Baltic region, running its operations in the same way as all other terminals in the international company, the Vitol Group, co-owner of Ventspils nafta terminals Ltd, around the world.

Ventspils nafta terminals Ltd is the largest of such companies in the region, and its crude oil and petroleum products shore-tank farm has 1.2 million cubic meters of storage and has no comparator among similar companies in the nearest countries.

Also the JSC Ventspils nafta subsidiary, owner and operator of crude oil and petroleum products pipeline in the territory of Latvia LatRosTrans Ltd has worked consistently in the reporting period in accordance with previous budget forecasts - the company has gained revenue mostly by transporting petroleum products to the Ventspils port. LatRosTrans Ltd is planning to ship up to 5 million tons of diesel fuel in 2009.

Oil transportation in the direction of Lithuania via the pipeline owned by LatRosTrans Ltd has still not resumed due to the geopolitical situation. To maintain a positive cash flow in this situation, the company's management regularly assesses and reduces activity and expenditure. A decrease in expenditure of more than LVL 1.5 million was achieved in the budget of LatRosTrans Ltd for 2009 as against expenditure in 2008. At the same time, other options for increasing income sources for the company are being reviewed.

In the reporting period, the JSC Ventspils nafta associated company JSC Latvian Shipping Company continued pursuing its strategic goal - ensuring an increase in the Group's value and retaining its position among the leading medium range tanker owners in the world.

Irrespective of the low market activity and the sharp decline in ship charter rates, net profit for JSC Latvian Shipping Company in the first half-year of 2009 has reached USD 9.3 million as a result of effective control of expenditure. Despite the global economic crisis, which directly affects demand for raw materials, JSC Latvian Shipping Company managed to maintain activity in the reporting period, as a result of shipping activity increasing by 10% in comparison with the first half-year of 2008.

The global economic situation and local market conditions are indicating that all the companies of JSC Ventspils nafta Group will have to work hard to deliver good performance in the annual reporting period. However, as done in the past, all the companies of JSC Ventspils nafta Group continue working hard, to ensure that all interests of all shareholders are looked after.

JSC Ventspils nafta is the central holding company in a transit-oriented Group whose task is to manage the investments in subsidiaries by promoting the Group's joint values and growth in the value of each subsidiary individually. JSC Ventspils nafta Group is working in the following areas: transshipment of crude oil and petroleum products; transport of crude oil and petroleum products by pipelines; a shipping business.