Energa S.A.

M&A Activity • Oct 16, 2023

Current Report No. 29/2023

Prepared on: 13 October 2023

Subject: Signing of a preliminary agreement for the acquisition of aspecial purpose vehicle implementing a project for the construction ofhybrid renewable energy sources with a total capacity of up to ca. 334MW.

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

The Management Board of Energa SA ("Issuer") hereby announces that ithas become aware of the signing of a preliminary agreement on 13 October2023 between Energa Wytwarzanie SA ("Company") and Lewandpol Holding sp.z o.o. for the purchase of 100% of shares in E_amp;G sp. z o.o.("Transaction"), which implements Kleczew Solar _amp; Wind project for theconstruction of photovoltaic installations and wind farm with a totalcapacity of from ca. 244.5 MW to ca. 334 MW in the Wielkopolska province("Project"). If the Transaction is concluded, the total installedcapacity of Energa Group's renewable energy sources ("RES") may increaseto 950 MW, or by ca. 54% as compared to the end of June 2023.

The Project is divided into three stages, the first of which includesthe construction of a photovoltaic installation with a capacity of 193,1MW and a wind farm with a capacity of up to 19.2 MW. In the next twostages, the installed capacity of the photovoltaic farm is expected toincrease by maximum ca. 122 MW. According to the Project's currentschedule, construction of the aforementioned RES is expected to becompleted in 2025.

The Transaction is subject to the fulfillment of a number of conditionsprecedent (including obtaining unconditional approval from the Presidentof the Office of Competition and Consumer Protection and a license togenerate electricity), and is expected to close no later than in thefirst quarter of 2025.

The Project was not included in Long-Term Strategic Investments Plan ofthe Energa Group for 2021-2030, which the Issuer announced in currentreport No. 31/2021 dated 31 August 2021. As envisaged, if theTransaction goes through, ORLEN S.A. will provide financial support tothe Energa Group to finance the investment.