Sale of ORLEN Transport Lublin

Polski Koncern Naftowy ORLEN S.A. (“PKN ORLEN”), Central Europe’s largest downstream oil company, announces that on 29 July 2004 it sold all of its 31,845 shares in ORLEN Transport Lublin Sp. z o.o. (“ORLEN Transport Lublin”) to Nijman Zeetank International Transport Sp. z o.o. (“NZI Transport”) based in Sandomierz (Poland). These shares had a par value of PLN 500, representing 98.45% of the initial capital of ORLEN Transport Lublin and the same number of votes at the general meeting. The book value of the shares is PLN 15,922,490 as of the day 29 July 2004. The sale price is PLN 16,000,000.

The remaining 1.55% of shares in the initial capital of ORLEN Transport Lublin is owned by former and present employees.

The transaction was concluded under a transfer agreement between PKN ORLEN and NZI Transport dated 2 April 2004, and follows the fulfilment of all of the conditions, including the approval of the Polish Office for the Protection of Competition and Consumers, the Ministry of the Interior, and the Administration of the Republic of Poland. Completion also required confirmation of the non execution of their pre-emptive rights by the remaining shareholders of ORLEN Transport Lublin.

There is no relationship between the managing or supervising persons of PKN ORLEN and the managing or supervising persons of NZI Transport.

ORLEN Transport Lublin delivers fuels to 165 of PKN ORLEN’s petrol stations.

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.