Leasing a plot in the Freeport of Riga for the construction of a new oil terminal

The Board of the Freeport decided to lease a plot to company "Naftas serviss" for building of a new oil terminal. The agreement with the "Naftas serviss" determines to lease approximately 290 000 sq.m of land for 30 years period. Currently in the territory being leased for the construction no commercial activities are being carried out and the largest part of the plot covers swamp. The land lease agreement determines that until 31st December 2002 "Naftas serviss" will work out terminal sketch project, which will be subjected to approval of the Freeport Board. From the Freeport of Riga point of view the terminal capacity will not be the determinant factor for the project advantage, because building of a new terminal in a territory, which currently is not being used and thus is not making any profits, will be utilised and improved.