Current Report No. 75/2020

Date: 2 November 2020

Subject: Signing a letter of intent between Energa SA, PKN ORLEN S.A. and LOTOS Group S.A. concerning analysis of possibilities of realization of common investment

Legal basis: Article 17 (1) of MAR - inside information

The Management Board of Energa SA ("Company") informs that on 2 November 2020 there has been signed a letter of intent between the Company, PKN ORLEN S.A. and LOTOS Group S.A. (“Letter of intent”), (“Parties”), in which the Parties declared the will to start the common talks to analyze possibilities and conditions of common investment, ie. building a gas-steam power plant in Gdansk by July 2026 (“Project”). The scope of Project includes analysis and choice of the optimal configuration of the plant (technology, efficiency, power) and its location.

According to provisions of the Letter of intent the Parties will conduct talks to agree the assumptions and conditions of the Project regarding mainly the following issues:

• To agree law and technical conditions to realize the Project by the Parties as well as any other factors that could influence the Project realization;
• To agree rules of financing of the Project;
• In case of gas-steam power plant building: preparing a joint venture agreement regulating rules of cooperation of the Parties in Project realization;
• To agree other conditions of the Project realization.

The Letter of intent, signed today, binds the Parties by the time the certain agreements are concluded, however not later than  31 December 2021.