March 29, 2017 was the effective date of the amendments to the National Security Law of the Republic of Latvia whereby Latvijas Gaze as the distribution system operator qualified as a commercial company critical to the national security. As the second reorganisation of Latvijas Gaze has been completed, with the distribution system operator spun off into the Joint Stock Company "Gaso" (hereinafter - GASO), and the natural gas distribution license issued by the Public Utilities Commission has been lost and is now held by GASO, Latvijas Gaze hereby announces that as from December 7, 2017 it no longer holds the status of commercial company critical to the national security. Under the law, shareholders of GASO (currently the sole shareholder is Latvijas Gaze) and acquirers of shares and indirect holding in GASO will now have to seek permission of the Cabinet of Ministers for acquiring a holding if it reaches 10%, or seek permission of the Cabinet of Ministers for changing the beneficial owner if the holding reaches 25%. Vinsents Makaris Phone: + (371) 67 369 144 E-mail: IR@lg.lv