Latvenergo AS terminates its partnership in Nordic Energy Link AS that until 30.12.2013 provided operations of power cable Estlink-1 connecting Estonia and Finland electricity systems. On 19.03.2014 Nordic Energy Link AS shareholders held a meeting, where made a decision on dissolution of the Company.

According to the Shareholders’ Agreement executed in 2004 among the shareholders of Nordic Energy Link AS, operations of Nordic Energy Link AS shall be terminated after the sale of Estlink-1 assets to the transmission system operators. As on 30.12.2013 the power cable Estlink-1 was sold to Estonian and Finnish transmission system operators, Nordic Energy Link AS shareholders in their meeting of 19.03.2014 made a decision on dissolution of the Company.

Latvenergo AS decision of 2004 to participate in the Nordic Energy Link project was the first step towards the integration of the Baltic and Nordic electricity markets and the opportunity to start to operate on the Nordic Nord Pool Spot exchange. Estlink-1 with its transmission capacity of 350 MW provided an opportunity for Baltic electricity producers to sell the produced electricity in the Scandinavian market, as well as to import the electricity from Scandinavia. Estlink-1 interconnection created preconditions for the establishment of Baltic electricity exchange and for the increase of competition.

Nordic Energy Link AS shareholders: Eesti Energia AS 50%, Latvenergo AS 25%, Lietuvos Energijos Gamyba AB 25%.

Additional information:
Jānis Irbe
Group Treasurer
Phone: +371 67 728 239
E-mail: investor.relations@latvenergo.lv

www.latvenergo.lv

About Latvenergo

Latvenergo Group is a pan-Baltic energy company, engaging in electricity and thermal energy generation and supply, electricity distribution services and management of transmission system assets. Latvenergo Group holds one-third of the entire Baltic electricity market, thus ensuring its leadership in the Baltic electricity supply. Latvenergo AS has been acknowledged as the most valuable company in Latvia for several years in a row. International credit rating agency Moody’s has assigned Latvenergo AS an investment-grade credit rating of Baa3/stable.

Latvenergo Group includes the parent company Latvenergo AS (electricity and thermal energy generation and supply) and its subsidiaries Latvijas elektriskie tīkli AS (management of transmission system assets), Sadales tīkls AS (electricity distribution), Elektrum Eesti OÜ (electricity  supply in Estonia), Elektrum Lietuva UAB (electricity supply in Lithuania), Enerģijas publiskais tirgotājs AS and Liepājas enerģija SIA (thermal energy generation and supply, electricity generation), as well as Elektrum Latvija SIA (electricity supply), a subsidiary of Elektrum Eesti OÜ.