Lietuvos dujos approves creation of gas distribution subsidiary
VILNIUS. Oct 31 (Interfax/BNS) - The management board of Lietuvos dujos on Wednesday approved the creation of a subsidiary that will subsequently be given control of the gas distribution business, the Lithuanian natural gas company said in a statement.
Company executives have been instructed to prepare documents on establishing the subsidiary, which will have charter capital of LTL1 million, and submit them to the management board by April 1, 2014.
The decision was made in compliance with provisions of the law on natural gas and other legislation on unbundling gas distribution. Under a plan approved by the National Control Commission for Prices in June 2012, Lietuvos dujos is supposed to unbundle gas distribution by December 31, 2014.
As a result of the restructuring of Lietuvos dujos in line with the European Union's Third Energy Package, the operation of its trunk gas pipelines has already been spun off into Amber Grid. Lietuvos dujos itself will be left with the gas supply business, including purchases and subsequent resale.
E.ON Ruhrgas International owns 38.9% of Lietuvos dujos, Gazprom owns 37.06% and Lithuania's Energy Ministry owns 17.7%.
The litas is tied to the euro at a rate of LTL3.4528/EUR1.
