Sales of shares in Zaklad Budowy Aparatury

Polski Koncern Naftowy ORLEN S.A. (“PKN ORLEN”, “Company”) Central Europe’s largest downstream oil company, hereby announces that on August 1st, 2006, on the basis of the agreement signed on July 25th 2006, the Company sold 173,830 shares of Zaklad Budowy Aparatury S.A. (“ZBA”) headquartered in Plock (Poland), with a par value of PLN 100 per share, representing 96.57% of the initial capital of ZBA (and the same number of votes at the ZBA shareholders’ meeting), for a total amount of PLN 15,888,062, i.e. PLN 91.40 for each share. The shares were sold to:
- PETRO Remont Sp. z o.o. - 52,149 shares for a total of PLN 4,766,418.60,
- PETRO Mechanika Sp. z o.o. - 52,149 shares for a total of PLN 4,766,418.60,
- PETRO EnergoRem Sp. z o.o. - 52,149 shares for a total of PLN 4,766,418.60,
- PETRO Eltech Sp. z o.o. - 17,383 shares for a total of PLN 1,588,806.20.

The business activities of the buyers include operating in mechanical, electrical and automation engineering. The companies specialise in the realisation of investment and repair projects in the abovementioned branches of engineering and acting as general investment contractors.

Following the above transactions, PKN ORLEN will have no further holdings in ZBA.

The book value of the sold shares in the PKN ORLEN books amounted to PLN 11,791,946.55 as of March 31st 2006.

The main business activity of ZBA includes complex equipment and construction deliveries for the chemical and energy industries and other related branches of the industry.

Except in respect to the execution of the share transfer agreements referred to above, no other relationship exists between the Company and the Company’s managing or supervisory persons, and the buyers of the shares.