JSC  "Ventspils  nafta"  has  founded daughter company "Nafta Holdings"

Ltd.

Paid up share capital: LVL 500 000;

Field: Financial investments and activities of holdingcompanies;

JSC "Ventspils nafta" will hold 98% of the "Nafta Holdings";

Purpose  of  foundation  is  to  develop  profit  gaining  company  for

investments   outside   oil   transit   and   administration  of  those

investments.   Financial  statements  will  be  consolidated  with  JSC

"Ventspils nafta" starting 1999.

Company  was  registered  in  the  Enterprise register of Latvia on the

January 7,

1999.