Initial capital increase in PKN ORLEN subsidiary PPPT

Polski Koncern Naftowy ORLEN S.A. ("PKN ORLEN"), Central Europe’s largest downstream oil company, informs of the registration on 12 September 2005 of an increase in the initial capital of Plocki Park Przemyslowo – Technologiczny Spolka Akcyjna („PPPT”) by a District Court in Warsaw (Poland).

The initial capital of PPPT was increased by PLN 7,230,430.00 from PLN 1,000,000.00 to PLN 8,230,430.00. This was covered by a private placement of 723,043 registered series “B” shares having preference to 2 votes per one share, owned by the shareholder-founder “Miasto Plock” (municipal borough Plock).

Series no: series “B”
Nominal value of one share amounts to PLN 10.00

Value of newly issued shares covered by cash contribution: PLN 2,441,196.00
Value of newly issued shares covered by non-cash contribution: PLN 4,789,234.00

After an initial capital increase, the capital structure of PPPT comprises of:
Shareholder - founder Miasto Plock – PLN 7,730,430.00 – 94%
Shareholder - founder PKN ORLEN – PLN 500,000.00 – 6%

After the changes in initial capital, the total number of votes of the General Meeting of Shareholders of PPPT in relation to the total number of shares issued amounts to 1,646,086.

At the same time the Extraordinary General Meeting of PPPT, held on 23 August 2005 in Plock (motion no 1/3/2005), decided to increase the initial capital of PPPT by PLN 7.230.430,00, to PLN 15.460.860,00, by a private placement of 723,043 registered series “C” shares, having preference to 2 votes per one share, of nominal value PLN 10.00 per one share. The new issue will be owned by shareholder-founder PKN ORLEN. The registration process is on track and when it will be concluded, the capital structure of PPPT will comprise of:
Shareholder - founder Miasto Plock – PLN 7,730,430.00 – 50%
Shareholder - founder PKN ORLEN – PLN 7,730,430.00 – 50%.