Third stage of privatisation

Polski Koncern Naftowy ORLEN S.A. ("PKN ORLEN"), Central Europe's largest downstream oil company, announces today that in connection with the third phase of the Company’s privatisation, on 1st August 2001 BNP Paribas S.A., the financial advisor to the Company’s shareholder, Nafta Polska S.A., and CAIB Investment Bank and Lehman Brothers, the financial advisors to the Company, sent to certain selected entities running businesses in the oil sector an invitation to submit the offers. Pursuant to the invitation, the offers shall refer to, among other things, an acquisition by such entities of 17.58 percent of the Company’s shares owned by Nafta Polska S.A., an acquisition by the Company of a significant stake in such entity’s share capital, as well as, the proposed structure for the integration with the Company.