The registration of a new company, Poliolefiny Polska Sp. z o.o.

Polski Koncern Naftowy ORLEN S.A. ("PKN ORLEN"), Central Europe's largest downstream oil company, informs of the registration on 19th December 2002 by a District Court in Warsaw (Poland) of a new company, Poliolefiny Polska Sp. z o.o., based in Plock, Poland. PKN ORLEN acquired possession of 100% of the shares with a nominal value of 500 PLN for each share, representing 100% of the eligible votes at a shareholders' meeting. The purchase was executed by means of cash to the amount of PLN 50,000.

The objects of the company are polyolefin production and the wholesale of chemical products.

Poliolefiny Polska Sp. z o.o. will, in the future, be the base upon which the JV with Basell Europe Holding B.V will be created.

The Management Board of Poliolefiny Sp. z o.o. consists of 4 persons. Two are PKN ORLEN's employees and two are employed by the Basell group. PKN ORLEN and Basell Europe Holdings B.V., the company representing the Basell Capital Group, are connected by a joint-venture agreement signed on 30 September 2002.

The acquisition has been financed from the internal resources of the issuer and is classified as a long-term investment.

About PKN ORLEN SA

PKN ORLEN S.A. is one of the largest companies in Central & Eastern Europe, with listings on the Warsaw and London Stock Exchanges, and trading on the OTC market in the U.S.A. It is Poland's largest refiner of crude oil and marketer of world-class petroleum and related products. It has a substantial wholesale and retail distribution system that includes the largest network of service stations in Poland. It also has significant financial investments in the telecommunications sector in Poland.