PKN ORLEN S.A. („Company”) informs that it predicts that reversal of a part of historical impairments on investment in ORLEN Upstream Group will be included in unconsolidated annual financial statement for 2018, in the estimated amount of PLN 987 m.
The estimated amount of reversal of the impairments will increase PKN ORLEN S.A. unconsolidated annual net financial result for 2018 and will have no impact on consolidated annual EBITDA of ORLEN Capital Group for 2018. That amount will be analysed during the audit of the annual financial statement of ORLEN Capital Group for 2018 and may be changed.
The reversal of a part of impairments, mentioned above, is a result of an revaluation of PKN ORLEN investment in ORLEN Upstream Group, after estimation of the fair value of assets in Canada, based on report, prepared, according to Canadian market standards, by an independent company. On the base of that report ORLEN Upstream Group exploration and extraction of mineral resources of assets has been also revaluated, what will have an insignificant and non-cash impact on consolidated EBITDA of ORLEN Capital Group for 2018.
PKN ORLEN will publish its unconsolidated and consolidated financial statements for year 2018 on 21 March 2019.
PKN ORLEN holds 100% of ORLEN Upstream Sp.z o.o. share capital.
See also: regulatory announcement no 1/2019 dated 17 January 2019.