Ciech S.A.

Business and Financial Review • May 28, 2019

Text of the Report:

In reference to CurrentReport No. 34/2018 of 5 December 2018, in which CIECH S.A. (the "Issuer"or "Company") advised on the adoption of the CIECH Group's Strategy for2019-2021 (the"Strategy"),the Company informs that on 19 March 2019, the Management Board of theCompany has decided to launch the preparatory phase of its significantinvestments in the energy sector (the "Project").

The planned investments will be implemented by asubsidiary of the Issuer - CIECH Soda Polska S.A. (the "Subsidiary"),in its two locations: Janikowo and Inowrocław.

As part of the Project, the construction of newproduction sources powered by gaseous fuel is being considered.

The purpose of the planned investments in theSubsidiary is to increase the efficiency and availability of the energysector, which will translate, among others, into an increase in thevolume of soda production by limiting production losses and achievingsteam production reserves. At the same time, the implementation of theenergy mix will contribute to reducing CO2 emissions.

The preparatory phase of the investments involves,among others, tender proceedings related to the selection of thedesigner, preparation of project documentation, verification of themarket conditions for the planned Project, and obtaining relevantadministrative decisions.

The value of the aforementioned investments isestimated at approx. PLN 250,000,000 - 300,000,000. The estimatedduration of these investments is approximately 3 years. The effects ofthe implemented investment will have a positive impact on theconsolidated financial results of the CIECH Group.

The final decision on the implementation of theinvestment will be taken within the next few quarters and will depend,among others, on market conditions and obtaining relevant administrativedecisions.