The Supervisory Board and Board of Directors of Unipetrol, a.s. have approved the terms and conditions of the Share Purchase Agreement for the sale of 100% of Kaucuk a.s. shares

Polski Koncern Naftowy ORLEN S.A. ("PKN ORLEN"), Central Europe’s largest downstream oil company, announces that on 29 January 2007 the Board of Directors of Unipetrol a.s. (“Unipetrol”) approved the terms and conditions of the Share Purchase Agreement between Unipetrol as the seller and Firma Chemiczna Dwory S.A., headquartered in Oswiecim, (“Dwory”), as the purchaser. The subject matter of the Share Purchase Agreement is the purchase by Dwory of 100% of the shares in Kaucuk a.s., headquartered in Kralupy nad Vltavou, Czech Republic (“Kaucuk”). The terms and conditions of the Share Purchase Agreement have already been approved by the Supervisory Board of Unipetrol.

The Board of Directors of Unipetrol further approved the terms and conditions of the Agreement on Cooperation in Connection with the Construction and Operation of the New Butadiene Unit between Unipetrol, Kaucuk, Chemopetrol, headquartered in Litvínov, Czech Republic (“Chemopetrol”), and Dwory. The subject matter of the Agreement on Cooperation is the establishment of a joint-venture for the purpose of the construction and operation of the new butadiene unit within the industrial area in Kralupy nad Vltavou, Czech Republic.

The terms and conditions of the Cooperation Agreement in Connection with the Construction and Operation of the New Butadiene Unit were also approved by the relevant corporate bodies of Chemopetrol and Kaucuk. The terms and conditions of the above-mentioned contractual documentation were also approved by the relevant corporate bodies of Dwory.

PKN ORLEN owns 63% of the votes at the General Meeting of Unipetrol a.s.

The execution of the Share Purchase Agreement and Cooperation Agreement in Connection with the Construction and Operation of the New Butadiene Unit is expected to take place on 30 January 2007.