Ciech S.A.

Regulatory Filings • Oct 25, 2023

TheManagement Board of CIECH S.A. (the _quot;Issuer_quot; or _quot;CIECH_quot;),informs that on 25 October 2023, an Agreement was concluded betweenCIECH and ORLEN SYNTHOS GREEN ENERGY sp. z o.o. with its registeredoffice in Warsaw (_quot;OSGE_quot;;jointly the _quot;Parties_quot;) regarding the analysis of thefeasibility of implementing the project for the construction of modularnuclear power plants (the "Agreement").

TheAgreement regulates the principles of cooperation between the Parties inthe scope of verifying the feasibility of implementing an investmentinvolving the construction of modular nuclear power plants using reactortechnology BWRX-300 (English:Small Modular Reactors,"SMR","SMR Project"), on selected properties at the disposal ofCIECH (the _quot;Locations_quot;), agreeing and negotiating the termsof cooperation during the preparation and implementation of theinvestment covering the Project SMR, as well as developing the targetbusiness model of cooperation between the Parties in the event of adecision to implement the investment covering the Project SMR.

Ifthe suitability analysis confirms that specific Locations maypotentially be used for the implementation of the Projects SMR, theParties will be conducting, in good faith, talks aimed at concluding abinding cooperation agreement regarding the Projects SMR (the _quot;CooperationAgreement_quot;). The intention of the Parties is to conclude aCooperation Agreement by June 30, 2024.

OSGEcooperates with GE-Hitachi Nuclear Energy Americas LLC, therefore, ithas the exclusive right in the territory of the Republic of Poland touse the BWRX-300 technology, the application of which can ensure thatthe needs in terms of the supply of electricity and industrial andsystem (municipal) heat will be satisfied.

Thecooperation of the Parties is in line with the CIECH Group Strategyadopted by the Issuer of May 18, 2022 (Current Report No. 19/2022), theESG Strategy of the CIECH Group (https://esgciech.com/) and the Group'sactivities aimed at:

1.reducing the Group's CO2 emissions by 33% by 2026,

2.phasing out coal as a raw material for energy production by 2033,

3.achieving the Group's climate neutrality (net zero) by 2040.

Atthe same time, the Management Board indicates that the OSGE was createdby_#160;ORLENS.A. and Synthos Green Energy S.A. ("SGE").

OnSeptember 9, 2021, CIECH andSGEsigned a letter ofintent on cooperation in the use of the SMR technology ("Letterof Intent"), as advised by the Issuer in its Current Report No.31/2021.

Legalbasis:Article 17.1 of Regulation of the European Parliament and of the Council(EU) No. 596/2014 of 16 April 2014 on Market Abuse (the Market AbuseRegulation) and repealing Directive 2003/6/EC of the European Parliamentand of the Council and Commission Directives 2003/124/EC, 2003/125/ECand 2004/72/EC (Official Journal of the European Union L No. 173, p. 1).