PGNiG: Submission by PGNiG of the response to a notice of arbitration before the ad hoc Arbitral Tribunal in Stockholm submitted by PAO Gazprom and OOO Gazprom Export

The management board of Polskie Górnictwo Naftowe i Gazownictwo S.A. (“PGNiG” or the “Company”), in reference to the current report No. 2/2022 of January 14th 2022 reporting about the submission by PAO Gazprom and OOO Gazprom Export (hereinafter jointly referred to as “Gazprom”) of a notice of arbitration before the ad hoc Arbitral Tribunal in Stockholm (“Gazprom’s Notice”), which included a request for the revision of the contract price for natural gas supplied by Gazprom based on the contract for the sale of natural gas to the Republic of Poland of September 25th 1996, reports that, on February 11th 2022, the Company submitted a response to the Gazprom’s Notice in which it requested that the claims of Gazprom demanding the increase of the contract price under Gazprom’s requests for the revision of the contract price of December 8th 2017 and of November 9th 2020, which the Company reported in current reports No. 96/2017 and No. 58/2020, be dismissed as formally inadmissible or, alternatively, as unfounded and without merit.

In addition, if the ad hoc Arbitral Tribunal found that the change of the contract price in 2017 was admissible, the Company submitted a counterclaim for a decrease of the contract price from November 1st 2017 based on PGNiG’s request of November 1st 2017 for the decrease of the contract price, which the Company reported in the current report No. 91/2017.

Moreover, the Company submitted a counterclaim for a decrease of the contract price from November 1st 2021 based on PGNiG’s request of November 1st 2020 for the decrease of the contract price, subsequently modified by PGNiG on October 28th 2021, which the Company reported in the current reports No. 57/2020 and No. 43/2021.