KN Energies AB

Earnings Release • Nov 20, 2008

Disclosure 264434

Klaipedos Nafta AB - Notification on material event

REGARDING RESULTS OF SC KLAIPĖDOS NAFTA DURING THE FIRST NINE MONTHS OF 2008

During January - September of 2008 SC Klaipedos Nafta received income in the amount of LTL 91.7 million or EUR 26.6 million, i.e. 51 % more if compared to the income of the same period of 2007 (LTL 60.6 million or EUR 17.6 million). During the first nine months of 2008 the Company generated a pre-tax profit of LTL 32.6 million or EUR 9.4 million; i.e three times more if compared to the pre-tax profit of the first nine months of 2007 (LTL 10.3 million or EUR 3.0 million). During the nine months of 2008 the total volume of transshipped oil products was by 48 % greater than during the same period of the last year (transshipment during nine months of 2008 - 6.239 million tones and 4.202 million tones - during the same period of 2007). The successful results of the nine months of 2008 were determined by double increased transshipment of oil products from SC Mažeikių Nafta as well as by increased delivery by 17 % of oil products from Russian and Byelorussian Oil Refineries according to the long-term agreements. During the above-mentioned period the amount of the loans repaid according to the loan repayment schedule is LTL 15.6 million (EUR 4.5 million) and interests paid is LTL 0.96 million (EUR 0.28 million). Irena Barauskaite-Gaiziuniene +370 46 391626