Ventspils nafta termināls

Annual report

Management report 2016

Establishment of the Company

SIA Ventspils nafta termināls (hereinafter – the Company) started its operations within the AS Ventspils nafta group in October 2003, taking over the experience in receiving, storage and reloading of petroleum products accumulated by AS Ventspils nafta over the period since 1961.

Until March 2007 the Company was a 100% owned subsidiary of AS Ventspils nafta. In March 2007 a new shareholder of the Company was registered – Euromin Holdings (Cyprus) Limited, a related company of the international company Vitol, which is also among AS Ventspils nafta shareholders. Euromin Holdings (Cyprus) Limited took title to 384 855 shares or 49% in the Company and AS Ventspils nafta held 400 563 shares or 51%.

On 23 March 2010, the shareholding structure changed as Euromin Holdings (Cyprus) Limited sold its shares in the Company to Eurotank Holding Sarl, a company of the international terminal operator VTTI, which took over the ownership to 49% in the Company since then.

The Company has been in the transit business for fourteen years already, providing services such as receipt of crude oil and gas oil by pipelines, receipt of gas oil, gasoline and other oil products delivered by rail and sea, storing and reloading such products, as well as some additional services related to its core business. The Company is the largest company of its type in the region. The Company operates a tank infrastructure for petroleum products with total capacity of 1.2 million cubic meters making it by far larger than any other company involved in similar business in Latvia or the neighbouring countries.

As of 31 December 2016, the share capital of the Company is EUR 86’754’913 and consists of 86’754’913 shares. The par value of each share is EUR 1.

Development of the Company in 2016

In 2016, the Company decreased its transhipment volumes from 9.2 million metric tons in 2015 to 6.9 million metric tons. Throughput of products delivered by railway and vessels was 3.5 million metric tons and throughput of pipeline gasoil was 3.4 million metric tons.

At the same time, in 2016, the Company continued actively implementing various modernisation measures by optimising its operational processes and procedures, increasing work efficiency, ensuring introduction of higher requirements for environmental protection, as well as adapting to new economic conditions, which allowed strengthening of its position on the local market and worldwide.

the State Revenue Service and the Ministry of Finance awarded the Company as the Largest Tax Payer in the category of large tax payers in Kurzeme planning region in 2016. In 2016, second year in a row the Company received Platinum award in the Sustainability Index, and the Company contractor safety improvement program was awarded “Responsible business initiative of the year” on CSR idea market.

The Company received CV-online award “Top Employer in Kurzeme”. The Employers' Confederation of Latvia named the Company Best Employer in Kurzeme Region, Ministry of Welfare granted a status “Family friendly company”.

Furthermore the Ministry of Environmental Protection and Regional Development awarded the Company “Bicycle Friendly Company” for active promotion of cycling culture.

Impact of the environmental protection requirements

By implementing declared environmental and quality policy goals in 2016, the Company carried on with the tasks included in the environment management programme, such as maintaining the safety level of operational processes, improving the current environmental monitoring system, treating and remediating polluted areas in the Company’s territory while also contributing to the reduction in energy consumption and the development of environmental awareness with employees and subcontractors. According to the Energy Efficiency Law the Company has created and maintains a certified environmental management system (with a supplement), which includes an energy management system. They help to identify energy efficiency measures, incorporating them into the Company’s action plan in order to significantly save energy.

Under the environmental management program developed and approved by the Company, the Company will seek to maintain and restore the quality of the environment as well as to ensure sustainable use of natural resources.

Compliance of the Company with ISO 9001 and ISO 14001 was successfully re-certified in 2016 by the international certification organization Bureau Veritas Certification, by carrying out an audit in all departments of the Company in order to ascertain that its integrated management system meets the requirements set by the environmental management standard ISO 14001:2004 and the quality management standard ISO 9001:2008. Complementary to ISO 14001 energy efficiency process was reviewed and accordingly ISO 14001 extension was granted to fulfil EC Directive 2012/27/ES on energy efficiency matters. Bureau Veritas ISO Certification is valid until 15.09.2018.

As reported previously, the Company also managed to obtain OHSAS 18001:2007, Occupational Health and Safety Certification in 2012 and was successfully re-certified in 2016 by Bureau Veritas Certification. The certificate is valid until 21.10.2018 and is an important indicator of the Company’s efforts and management in the vital area of Occupational Health and Safety.

The quality and environmental management system assures that the Company is able to guarantee safe and efficient services in the transhipment business, while at the same time decreasing the Company’s impact on the environment in an economically reasonable way. For the Company’s customers, partners, shareholders and broader society, ISO and OHSAS certificates attest that processes at the Company are well-arranged and take place in tightly controlled conditions, thus ensuring conformity of the Company’s services to the initial requirements, as well as maintaining and developing the efficiency of the terminal’s management.

Planned operations in 2017

The objective of the Company in 2017 is to further continuously develop a sustainable profitable business by ensuring competitiveness in the market of the transhipment of petroleum products as well as to maintain high safety levels of its technological processes and to reduce adverse environmental effects by constantly upgrading and improving the Company’s infrastructure.

Financial report 2013 - 2016


Ventspils nafta terminals (VNT) 2016 2015 2014 2013 
Turnover (million EUR) 62.85 79.61 76.85 72.9
Gross profit (million EUR) 18.04 17.78 19.2 19.3
Net profit  (million EUR) 13.12 14.01 12.2 12.4

Oil cargo transshipment volume (tonnes)

6.9 9.2 10.58 9.64