PAN Pan European Terminals

RNS Number:2427H
Baltic Oil Terminals Plc
04 August 2006






4 August 2006

                            Baltic Oil Terminals PLC


                       Acquisition of Baltic Top Terminal


Baltic Oil Terminals PLC ("Baltic"), which invests in oil related infrastructure
projects and upstream activities in Russia and countries in the former Soviet
Union - announces the acquisition on 3 August 2006 of the Baltic Top Terminal
("Baltic Top") in Kaliningrad, Russia.


Baltic Top is a refined products terminal business, with a throughput capacity
of 10,000 tonnes per month, which stores gasoline and diesel delivered by rail
for storage and onward delivery to customers in the Kaliningrad region. The
operations of Baltic Top, which has 38 employees, are located on a 2.2 acre site
which is situated approximately 1.5 kilometres from the site of Baltic's Tetoil
oil export transhipment terminal which is currently under construction.


The acquisition of Baltic Top is being effected through the acquisition by a
Baltic subsidiary of Pazega Limited, a Cyprus company which has acquired all of
the interests in OOO Baltictop ("BT") and OOO Otelbiznesstroy ("OBS"), both
Russian limited liability companies. The consideration has been satisfied
through the payment of US $3.35 million (#1.78 million) in cash.


As is common practice in Russia, the operations of the terminal are conducted
through OBS, which owns the assets of the business, and BT, which employs the
staff and operates the business.


In the year ending 31 December 2005, the Baltic Top business generated a profit
before tax of approximately $0.4m (#0.2m) on revenue of approximately $0.8m
(#0.4m). Net assets at the year end amounted to approximately $0.2m (#0.1m).


In the short term, Baltic intends to increase turnover to $0.9m and profit
before tax to $0.5m. In the longer term, Baltic intends to further increase
profitability by maximising the synergies between Baltic Top and the Tetoil
terminal currently under construction.


Commenting on the acquisition of Baltic Top, Simon Escott, Chief Executive of
Baltic, commented:


"We are very pleased to have completed the acquisition of Baltic Top, which will
provide Baltic with immediate revenues and cashflows. We believe that Baltic has
acquired the business at a very attractive price in comparison to its present
enterprise valuation and whilst it has operated profitably for a number of
years, we are confident that there is scope to enhance its performance.
Importantly, it also establishes for Baltic an active operational presence in
Kaliningrad and provides us with a highly experienced operations team, that will
prove invaluable for the start up of the Tetoil terminal presently under
construction.


                                     - Ends-





Enquiries:


Baltic Oil Terminals plc

Simon Escott     07920 095 800

Robert Wilde     01908 547 920


Financial Dynamics 

Billy Clegg      020 7831 3113

Ed Westropp      020 7831 3113




                      This information is provided by RNS
            The company news service from the London Stock Exchange

END
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