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Current Report No. 37/2019

17.09.2019 16:40

Update of information on the construction of power generating unit at Jaworzno III Power Plant

In reference to current report No. 7/2017 of 1 March 2017 the Management Board of TAURON Polska Energia S.A. („Issuer”) informs that on 17 September 2019 Nowe Jaworzno Grupa TAURON Sp. z o.o., Issuer’s subsidiary, received request from the consortium RAFAKO S.A. – MOSTOSTAL WARSZAWA S.A. („Consortium”) constituting an invitation to start negotiations on expanding the scope of works defined in the agreement for the construction of 910 MWe unit for supercritical parameters („Unit”) at Jaworzno III Power Plant – Power Plant II („Agreement”).

The Consortium proposed execution of additional works whose effect would have positive impact on the technical and environmental parameters of the Unit and allow to expand the so-called fuel field of the Unit (admission of a larger variety of coal types), which will allow to optimize the cost of electricity production. In the Consortium's opinion, the additional work will bring measurable financial and operational benefits to the Issuer's Capital Group. The Consortium indicates that the Issuer's consent to a possible extension of the scope of works may have an impact on the schedule of the Block construction and the value of the Agreement.

In view of the above, Nowe Jaworzno Grupa TAURON Sp. z o.o. will negotiate the proposal submitted by the Consortium.
The Issuer will inform about the results of the negotiations and possible impact on the terms and conditions of the Agreement in a separate current report.

Legal basis: Article 17 item 1 of MAR – inside information

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