Energa S.A.

M&A Activity • Sep 16, 2016

Current Report No. 31/2016

Date of preparation: 16 September 2016

Subject: Submission, together with partners, of a tentative proposal forthe acquisition of EDF's assets in Poland

Legal basis: Article 17 Section 1 of the Market Abuse Regulation -confidential information

The Management Board of Energa SA ("Company") hereby reports that on 16September 2016 the Company, together with Enea S.A., PGE S.A. and PGNiGTermika S.A. ("Business Partners"), jointly submitted to EDFInternational S.A.S. (EDF) their tentative non-binding proposal for theacquisition of a stake in EDF's companies in Poland holding conventionalgeneration assets and providing related services.

These assets include in particular:

- Elektrownia Rybnik (Rybnik Power Plant);

- Elektrociepłownia Kraków (CHP Plant in Kraków), Elektrociepłownia wGdańsku (CHP Plant in Gdańsk), Elektrociepłownia w Gdyni (CHP Plant inGdynia) and the heating grid in Toruń;

- CHP Plant and heating grid in the Wrocław conurbation, CHP Plant andheating grid in Zielona Góra (owned by Zespół ElektrociepłowniWrocławskich Kogeneracja S.A. and its subsidiary ElektrociepłowniaZielona Góra S.A.);.

- Investment in a gas-fired unit in Toruń (part of EDF Gaz Toruń sp. zo.o.).

If the transaction is approved to proceed to the next stage, theBusiness Partners will conduct a detailed due diligence to serve as thebasis for a decision on subsequent steps in the transaction, includingthe possible submission of a binding offer, following receipt of therequired corporate approvals.