Impact of the outbreak of the SARS-CoV-2 virus on the YME field production schedule
Report no. 7/2020 2020-03-28

The Management Board of Grupa LOTOS S.A. (the “Company”) announces that as a consequence of the pandemic caused by the SARS-CoV-2 virus, the date of first oil production from YME field (“YME”), previously scheduled for Q4 2020, is likely to change.

The project to upgrade the Maersk Inspirer platform (the “Platform”) for hydrocarbon production from YME in line with the Plan for Development and Operation may be significantly delayed following the introduction by the Norwegian authorities of new regulatory measures in response to the outbreak of the SARS-Cov-2 virus. The resulting restrictions are affecting businesses, including by preventing them from continuing to hire employees from outside Norway. This situation has been notified to the Company by Maersk Drilling, i.e. the Platform owner, and Aker Solutions, i.e. the contractor engaged to perform the upgrade, both of which in these circumstances will have a reduced capacity to operate as well as to fulfil their mutual obligations.

Accordingly, the Company believes that first oil production from the YME field is highly likely to be postponed until Q4 2021. The Company is monitoring the YME project on an ongoing basis and will report on any key decisions affecting its progress. 

Legal basis: Article 17(1) of MAR – Inside information