Crude oil from the Lithuanian fields is produced using onshore production infrastructure. Produced crude oil is transported by road to a marine terminal in Liepāja (Latvia), and then is taken to Gdańsk by a tanker ship, where it is fully processed by the LOTOS refinery. All associated natural gas is flared.
Exploration and production activities in Lithuania
Exploration and production operations in Lithuania are carried out through a subsidiary, AB LOTOS Geonafta of Gargždai. The company is the parent of another group of companies, comprising:
- UAB Genciu Nafta (100% owned by AB LOTOS Geonafta),
- UAB Manifoldas (100% owned by AB LOTOS Geonafta),
- UAB Minijos Nafta (50% owned by AB LOTOS Geonafta).
Competition for he upstream business
There is no active E&P market in Lithuania. The AB LOTOS Geonafta Group companies are the only entities engaged in production of oil from Lithuanian fields. The LOTOS Group owns 100% of the Lithuanian assets, except for UAB Minijos Nafta, where it owns 50% and the remaining investors are: Tethys Oil AB, Odin Energy A/S and private investors.
Key assets of the LOTOS Group (production volumes and licences)
The LOTOS Group’s average daily output in Lithuania in 2021 was 0.5 thousand boe/d (a decrease of 9.7% year on year), which accounted for 3% of the Group’s total production volumes.
Production operations were being conducted within the following onshore blocks: Girkaliai, Genciai, Kretinga, Nausodis, Klaipėda, and Gargždai.
As at the end of 2021, the LOTOS Group’s 2P hydrocarbon reserves in Lithuania totalled 2.3 million boe (100% of crude oil), representing 3% of the Group’s total 2P reserves.
Licences held by the AB LOTOS Geonafta Group As at December 31st 2021
As of December 31, 2021
Sources: the Company
