PKN ORLEN S.A. („Company”) informs that on 5 April 2017 it signed an agreement with Basell Orlen Polyolefins Sp. z o.o. („BOP”) for the sales of up to 100 thousand tonnes of propylene per year (“Agreement”). On the base of the Agreement PKN ORLEN S.A. will deliver to BOP a propylene the production of which will commence after start-up of the metathesis unit, currently under construction at the Production Plan in Plock, i.e. in the second half of 2018.
The annual value of the Agreement amounts to ca. PLN 350 m. The Agreement has been concluded for the life-time of the Joint Venture which established BOP in 2002. PKN ORLEN S.A. holds 50% of shares in BOP.
Signing of the Agreement is the next stage in the metathesis unit building project ensuring the use of the future production capacity of the unit and allowing to realize the effects of synergy between PKN ORLEN S.A. and BOP.
See also: regulatory announcement no 199/2016 dated 21 July 2016 and regulatory announcement no 202/2016 dated 1 August 2016.