JSC “Latvijas Gaze” statement regarding the article “”Latvijas gaze” committed to selling “Gaso” by March 27” published by the news agency “LETA” on February 28, 2023 at 10:08

On February 28, 2023 at 10:08 o’clock, the news agency "LETA” published a news article titled "”Latvijas Gaze” committed to selling "Gaso” by March 27” by Marta Kronberga (hereinafter – the LETA article).

The LETA article claims that "the JSC "Latvijas Gaze” has committed to selling its subsidiary JSC "Gaso”, which is a gas distribution system operator, by March 27 this year”. The author Marta Kronberga has inferred the "commitment” of the JSC "Latvijas Gaze” from the statement published by the JSC "Latvijas Gaze” on the Nasdaq Baltic stock exchange on February 28, 2023 at 9:30 o’clock.

The JSC "Latvijas Gaze” hereby stresses that the title of the LETA article misleads investors and the public and is not in line with the public statement by the JSC "Latvijas Gaze”.

The JSC "Latvijas Gaze” reiterates that there is a Council Regulation (EU) 2023/427 amending Regulation (EU) No. 833/2014 concerning restrictive measures in view of Russia’s actions destabilising situation in Ukraine (hereinafter – Regulation No. 2023/427) in force since February 25, 2023.

According to Article 5o of the Regulation, it is prohibited as of March 27, 2023 for Russian nationals or natural persons residing in Russia to hold any posts in the governing bodies of the owners or operators of critical infrastructures, European critical infrastructures and critical entities.

The JSC "Gaso”, a subsidiary of the JSC "Latvijas Gaze”, is a capital company of significance to national security and a holder of critical infrastructure.

Having regard to the above and the requirements of the International and National Sanctions Law of the Republic of Latvia, the JSC "Latvijas Gaze” has to take all actions to timely secure the necessary changes in the governance structure of the JSC "Gaso” in line with Regulation No. 2023/437.

Under Section 21 of the Law On the Press and Other Mass Media, the JSC "Latvijas Gaze” hereby requests that the news agency "LETA” retract the published news article because it is misleading and false.

JSC "Latvijas Gaze”
Board

On the JSC "Latvijas Gaze”

Latvijas Gaze is one of the leaders of the Baltic energy industry.
Our goal is to consolidate the leading position of the Latvijas Gaze Group in the Latvian and Baltic energy market by becoming the customers’ first choice among Natural Gas suppliers and providing the most reliable natural gas supply for the entire region.
The wholesale and sale of natural gas to business customers is carried out in Latvia, Lithuania and Estonia. Following the opening of the Finnish gas market on January 1, 2020, Latvijas Gaze has successfully started natural gas trading in Finland as well. In the household segment, Latvijas Gaze is the biggest and most prominent natural gas trader in Latvia.
After Latvia regained its independence in 1991, a joint state-owned company "Latvijas Gaze” was established by merging the Latvian gas infrastructure and institutions. The privatisation of the company was commenced in 1997 and completed in 2002. Since February 15, 1999, the shares of the JSC "Latvijas Gaze” have been quoted on the Nasdaq Riga stock exchange. Taking into account the requirements of the European Union for the establishment of the natural gas market and the expiry of the privatisation agreement between the state and the shareholders of Latvijas Gaze, the unified transmission and storage operator JSC "Conexus Baltic Grid” was separated from Latvijas Gaze in early 2017, followed by the separation of the distribution system operator JSC "Gaso” on December 1, 2017.

Contact information:
Sandra Joksta
investor.relations@lg.lv

phone + 371 67 374 369