24/2021
24/2021
Conclusion of Amendments to Agreements with Enea Elektrownia Połaniec S.A.
Current Report No. 24/2021
Date of preparation: 4 October 2021
Subject: Conclusion of Amendments to Agreements with Enea Elektrownia Połaniec S.A.
General legal basis: Article 17.1 MAR – Inside Information.
Content:
The Management Board of LW Bogdanka S.A. with registered office in Bogdanka (the “Company”, the “Seller”) hereby announces that on 4 October 2021 it concluded an Amendment (the “Amendment to the Additional Agreement”) to the Additional Agreement on Sale of Coal (the “Additional Agreement”) between the Company and Enea Elektrownia Połaniec S.A. (the “Buyer”) with registered office at the address: Zawada 26, 28-230 Połaniec. On the same date, the Company also concluded an Amendment (the “Amendment to the Long-Term Agreement”) to Agreement on Sale of Thermal Coal No. 3/W/2012 of 12 July 2012 (the “Long-Term Agreement”).
The aforementioned Long-Term Agreement was referred to in current reports published from 2012 to 2021, with the most recent information concerning amendments thereto having been made public in Report No. 4/2021 published on 22 January 2021 and Report No. 20/2021 published on 9 July 2021.
The Long-Term Agreement covers thermal coal supplies in 2013-2024.
The Additional Agreement is implemented outside the Long-Term Agreement and sets out the terms and conditions concerning the price and volume of coal supplies to the Połaniec Power Plant during its term. The concluded Amendment to the Additional Agreement extends the term thereof until 31 January 2022.
Under the Amendment to the Long-Term Agreement, the Parties defined new volumes of supplies for 2021-2024.
Due to unused additional volume options in 2021, the value of the entire Long-Term Agreement in the years 2013–2024 after the conclusion of the Amendment to the Long-Term Agreement will alter and amount to approximately PLN 4,163 million net and is 0.53% lower than the amount published in Report No. 20/2021 of 9 July 2021. The amount specified in the previous sentence includes additional volume options of about PLN 228 million to be used by the Parties between 2022 and 2024.
In the years 2021–2024 alone, the Long-Term Agreement has a net value of PLN 1,482 million, including the abovementioned additional options.
The Management Board treats the above information as significant given the considerable share of the recipient in the Company’s supply portfolio.
Other terms and conditions of the Long-Term Agreement and Additional Agreement remain unchanged and do not differ from the market standards applied in such agreements.
Date of preparation: 4 October 2021
Subject: Conclusion of Amendments to Agreements with Enea Elektrownia Połaniec S.A.
General legal basis: Article 17.1 MAR – Inside Information.
Content:
The Management Board of LW Bogdanka S.A. with registered office in Bogdanka (the “Company”, the “Seller”) hereby announces that on 4 October 2021 it concluded an Amendment (the “Amendment to the Additional Agreement”) to the Additional Agreement on Sale of Coal (the “Additional Agreement”) between the Company and Enea Elektrownia Połaniec S.A. (the “Buyer”) with registered office at the address: Zawada 26, 28-230 Połaniec. On the same date, the Company also concluded an Amendment (the “Amendment to the Long-Term Agreement”) to Agreement on Sale of Thermal Coal No. 3/W/2012 of 12 July 2012 (the “Long-Term Agreement”).
The aforementioned Long-Term Agreement was referred to in current reports published from 2012 to 2021, with the most recent information concerning amendments thereto having been made public in Report No. 4/2021 published on 22 January 2021 and Report No. 20/2021 published on 9 July 2021.
The Long-Term Agreement covers thermal coal supplies in 2013-2024.
The Additional Agreement is implemented outside the Long-Term Agreement and sets out the terms and conditions concerning the price and volume of coal supplies to the Połaniec Power Plant during its term. The concluded Amendment to the Additional Agreement extends the term thereof until 31 January 2022.
Under the Amendment to the Long-Term Agreement, the Parties defined new volumes of supplies for 2021-2024.
Due to unused additional volume options in 2021, the value of the entire Long-Term Agreement in the years 2013–2024 after the conclusion of the Amendment to the Long-Term Agreement will alter and amount to approximately PLN 4,163 million net and is 0.53% lower than the amount published in Report No. 20/2021 of 9 July 2021. The amount specified in the previous sentence includes additional volume options of about PLN 228 million to be used by the Parties between 2022 and 2024.
In the years 2021–2024 alone, the Long-Term Agreement has a net value of PLN 1,482 million, including the abovementioned additional options.
The Management Board treats the above information as significant given the considerable share of the recipient in the Company’s supply portfolio.
Other terms and conditions of the Long-Term Agreement and Additional Agreement remain unchanged and do not differ from the market standards applied in such agreements.