Energa S.A.

Capital/Financing Update • Dec 16, 2021

Current Report No. 39/2021

Date: 16 December 2021

Subject: Signing a long-term loan agreement with the European InvestmentBank

Legal basis: Article 17(1) MAR - inside information

The Management Board of Energa SA (_quot;Issuer_quot;) informs that on 16 December2021, the Issuer and its subsidiary Energa-Operator SA (together the_quot;Borrowers_quot;) signed a long-term investment loan agreement with theEuropean Investment Bank (_quot;EIB_quot;) (_quot;Agreement_quot;). The purpose of theAgreement is to grant the Borrowers a loan up to the PLN equivalent ofEUR 150 million (_quot;Loan_quot;).

The funds from the Loan will be used to finance the investment programof Energa-Operator SA for the years 2021-2023, including tasks such asconnection of new customers, modernization of the grid network,construction and modernization of distribution assets to connect, amongothers, new renewable energy sources and elements of the smart grid.Implementation of the above mentioned investment program will ensure anincrease in the security of electricity supply while reducing gridlosses and improving the quality of service.

According to the Agreement, the Borrowers will be able to use the fundsraised in tranches within three years from the date of signing theAgreement, and the maximum repayment period is seventeen years.Depending on the Issuer's decision, the interest rate will be fixed orfloating (increased by the EIB's margin) for each application for thedisbursement of funds for a given tranche. The Loan will be disbursedfollowing completion of conditions precedent that are standard for thistype of financing.

The funds obtained from the Loan will constitute another long-termsource of financing for the Energa Capital Group and will strengthen itsfinancial stability.