PKN Orlen S.A.

Capital/Financing Update • Sep 19, 2023

Signing of credit agreements for Offshore Wind Farm Project financingRegulatoryannouncement no 41/2023 dated 19 September 2023ORLEN S.A.("ORLEN", "Company") informs that today Baltic Power sp. z o.o. ("BalticPower") signed a credit agreements for the financing of the OffshoreWind Farm project located in the Polish Exclusive Economic Zone on theBaltic Sea with a maximum capacity up to 1200 MW ("Agreements"),("Project"). The Agreements were signed with a consortium consisting of25 Polish and foreign financial institutions ("Consortium").Pursuantto the Agreements, the Consortium will grant Baltic Power an investmentloans in the total amount of EUR 3,6 bn for a period of 23 years.Moreover according to the Agreements Baltic Power will have apossibility to use additional and a standby loans in the amount of PLN 1bn and EUR 0,6 bn respectively.According to the Agreements, therepayment of the loan granted to Baltic Power will be based on futurefinancial surpluses generated by the Project. The loan will be disbursedafter fulfilment of the conditions precedent specified in the Agreements.TheProject is carried out by Baltic Power based on a joint ventureagreement implemented by ORLEN, Baltic Power and NP BALTIC WIND B.V., asubsidiary of Northland Power Inc., based in Amsterdam, the Netherlands.ORLEN holds over 51% of the shares in Baltic Power.The total Projectbudget is estimated at ca. EUR 4.73 bn and covers capital expendituresand contingency (in the amount of EUR 4.05 bn), as well as financingcosts and additional reserve. Start of the Offshore Wind Farmconstruction is planned for 2023 and commercial operations are plannedfor 2026.It is estimated that upon completion of the Project, in thefirst 5 years of Project operation, Baltic Power may generate additionalfree cash flow of ca. EUR 140 m annual average (with ORLEN share in theamount of 51%), and Baltic Power's EBITDA may reach ca. EUR 400 m annualaverage (with ORLEN share in the amount of 51%).See alsoregulatory announcements: no 38/2023 dated 10 August 2023 and no 2/2021dated 29 January 2021.