PKN ORLEN purchases 25% in El-Dystrybucja power plant complex

PKN ORLEN TO PURCHASE SHARES IN EL-DYSTRYBUCJA Sp. z o.o.

Polski Koncern Naftowy ORLEN S.A. (“PKN ORLEN”), Central Europe’s largest downstream oil company announced today that on June 29, 2001 PKN ORLEN entered into a conditional agreement to purchase 10 shares in the Warsaw-based El-Dystrybucja Sp. z o.o. (“El-Dystrybucja”). The shares will be purchased from Zespół Elektrowni Patnow-Adamow-Konin SA. in Konin - the power plant complex - at a total price, in PLN, equal USD 1,500 (one thousand five hundred) as calculated under the exchange rate published by the National Bank of Poland (NBP) on June 28, 2001.

The ownership rights in El-Dystrybucja will be transferred to PKN ORLEN and will be executed on condition that it is approved by the Polish Office for Protection of Competition and Consumers. After fulfilment of this condition PKN ORLEN will hold 25% of the initial capital in El-Dystrybucja.