Current Report No. 1/2018
Belongs to:
- Reports
Date of preparation: 10 January 2018
Subject: Updated estimated value of the coal supply agreement to Ostrołęka B
Legal basis: Art. 17 section 1 of MAR – confidential information
The Management Board of ENERGA SA („Company”) reports that on 10 January 2018 its subsidiary ENERGA Elektrownie Ostrołęka SA entered into an annex to the coal supply agreement to the Ostrołęka B power plant („Annex”) with Polska Grupa Górnicza S.A. („PGG”), as reported in current report no. 53/2016 on 27 December 2016.
This Annex increases the volume of supply to 750 thousand tons of coal per annum with the possible deviation of volume falling within a range of ±20%. The parties have agreed on a coal supply of 750 thousand tons for 2018.
The Agreement to which this Annex has been signed was concluded for a fixed term from 1 January 2017 to 31 December 2030 with an option to extend it. In conjunction with the significant change in the volume to be delivered, the estimated value of this Agreement has been updated and presently its lifetime value is PLN 3.28 billion.
As a result of the higher volume, PGG has become the supplier who supplies the majority of coal to the Ostrołęka B power plant.