PKN ORLEN entered into an agreement with Petraco Oil Company Ltd.

Polski Koncern Naftowy ORLEN S.A., Central Europe's largest downstream oil company, announces today that on December 15, 2000 Polski Koncern Naftowy ORLEN S.A.entered into an agreement with Petraco Oil Company Ltd. for the supply of 432 000 tonnes of light crude oil. Supplies will be made by rail from Lithuania (80 per cent of the volume) and Kaliningrad in Russia (20 per cent) throughout 2001. The transaction is worth about USD 99 m. The above supply acounts for 3 per cent of all planned supplies in 2001. This agreement is similar to that concluded in 2000 for 300 000 tonnes of crude oil.

On the same day PKN ORLEN S.A. entered into another agreement with J&S Service and Investment Ltd. for the supply by sea of 720 000 tonnes of crude oil from Kaliningrad in Russia (88 per cent of the volume) and Lithuania (12 per cent) to Gdansk. This transaction, worth about USD 164 m, will also be carried out during 2001. The above supply accounts for 5 per cent of all planned supplies in 2001. This agreement is similar to that concluded in 2000 signed with J&S Service and Investment Ltd.