PKN ORLEN has signed an agreement with Rosneft Oil Company for crude oil deliveries

Polski Koncern Naftowy ORLEN S.A. ("PKN ORLEN") informs that on 1 February 2013 it signed an agreement (“Agreement”) with Rosneft Oil Company, Moscow, Russia, for REBCO crude oil deliveries, in the quantity of about 6,0 million tonnes per year, by “Przyjazn” pipeline to PKN ORLEN. The Agreement is valid from 1 February 2013 to 31 January 2016. In some cases, described in the Agreement, the alternative deliveries may be effected by sea to Gdansk.

In the Agreement there have been set liquidated damages in the amount not higher than ca. USD 1,1 m monthly (i.e. approximately PLN 3,40 m based on the average PLN/USD exchange rate as of 31 January 2013, as stated by the National Bank of Poland).

As of the day of signing of the Agreement, the estimated value of the deliveries by 31 January 2016 amounts to approximately USD 15,0 bn (i.e. approximately PLN 46 bn, based on the average PLN/USD exchange rate as of 31 January 2013, as stated by the National Bank of Poland).

In accordance with the “Regulation of the Minister of Finance dated 19 February 2009 on current and periodic information to be published by issuers of securities and on the conditions under which such information may be recognized as being equivalent to information required by the regulations of law of a state which is not a member state” the abovementioned Agreement is a “significant agreement” due to the fact that its value exceeds 10% of PKN ORLEN’s equity.