Signing of contracts with PGE Group companies

The Management Board of PKP CARGO S.A. (“PKP CARGO S.A.”, “Contractor”) hereby reports that on 6 September 2023, four transport contracts were signed between PKP CARGO and PGE Group companies, i.e. PGE Górnictwo i Energetyka Konwencjonalna S.A. in Bełchatów, PGE Energia Ciepła S.A. in Warsaw (“Principals”), with the subject matter of the contracts being the rail transport of hard coal and limestone sorbents for the Principals in the total maximum weight of 18.26 million tons.

Due to the necessity to adapt the volume of coal or limestone sorbent deliveries to the changing current needs, the Principals reserve the option to reduce the volume to be transported by max. 20%, i.e. to approx. 14.61 million tons. A change of the freight volume within above limits does not entitle the Contractor to any claims against the Principals.

The contracts will be in effect from 6 September 2023 to 5 March 2026.

The estimated maximum net value of the contracts during their term is PLN 986.38 million (gross value of PLN 1,213.24 million).

The remaining terms and conditions of the contract do not differ significantly from contracts of this type concluded by the Contractor.

Legal basis: Article 17 Section 1 of Regulation (EU) No. 596/2014 of the European Parliament and of the Council on Market Abuse.