G Energy Spolka Akcyjna

Related Party Transaction • Oct 11, 2021

Conclusionof a significant Agreement.ManagementBoard of G-Energy S.A. (GENERGY, Issuer, Subcontractor) with itsregistered office in Warsaw informs that today it received anotification of the Investor's consent to the Subcontracting Agreementconcluded by the Issuer with BWP sp.z o.o. with headquarters in DąbrowaGórnicza (BWP, Contractor), which concerns the performance of the taskunder the name: "Framework agreement for the design and implementationof construction works for gas pipelines with gas connections in PolskaSpółka Gazownictwa sp. z oo, branch gas plant in Zabrze (PSG) - area 2,29 and 30 and covers the areas of actiona)construction of gas pipelines and gas connections in the area of​​operation of the Gas Plant in Będzin, covering the city of Będzin, thecommune of Psary, the city of Wojkowice area No. 2b)construction of gas pipelines and gas connections in the area of​​operation of the Gas Plant in Jaworzno, including the city ofJaworzno, the city of Imielin, area No. 29c)construction of gas pipelines and gas connections in the area of​​operation of the Gas Plant in Jaworzno, covering the city ofMysłowice, area No. 30,Thesubject of the investment are construction works consisting in theconstruction and commissioning of: a gas network with gas connections inthe area of ​​operation of the Gas Works (Works), in accordance with theabove-mentioned The project, in accordance with the conditions containedin the Specification of Essential Terms of the Contract (hereinafterreferred to as the ToR), on the terms set out in the terms of theAgreement.Thetasks will be performed on the basis of separate Orders submitted to theSubcontractor by the Contractor or directly by PSG. The number of Tasksawarded to the Subcontractor under the Orders placed during the term ofthe Agreement will depend on the actual number of gas network connectionagreements,Thetotal net remuneration of the Contractor for the execution of Ordersfalling within the scope of the Subject of the Agreement should notexceed PLN 1,800,000.00 (one million eight hundred thousand zlotys), inparticular:a)the amount of 600,000 (in words: six hundred thousand zlotys) area No. 2b)the amount of 600,000.00 (in words: six hundred thousand zlotys) areaNo. 29c)the amount of 600,000.00 (say: six hundred thousand zlotys) area No. 30Thisamount will be increased by the due tax on goods and services (VAT).Thecontract was concluded for a period of 24 (in words: twenty-four) monthsfrom the date of its signing, with the proviso that BWP has the right togrant Orders within the indicated period, and GENERGY is obliged toaccept them, while the Parties agree that the period of validity TheAgreement will be terminated upon the completion of the works performedunder all Orders, i.e. also after the date on which, in accordance withthe rule for calculating the terms expressed in months, resulting fromthe Civil Code.TheOrdering Party is entitled to demand the payment of contractualpenalties, in particular for failure to perform the Task / Tasks coveredby a given Order within the time specified in the Order as the date ofProject development, the date of signing the Report on filling withgaseous fuel or the deadline for final acceptance, for reasonsattributable to the Contractor - in the amount of 0 2% of the netremuneration for each day of delay, but not more than 20% of the netremuneration. For the delayed performance of the Task covered by thegiven Order, the contractor shall pay to the Ordering Party acontractual penalty in the amount equivalent to the contractual penaltypaid by the Ordering Party to the connected entity for delayedperformance of the connection agreement. For delay in deliveringperiodic reports, unless the Contractor is not responsible for failureto perform this obligation on time - 0.1% of the net remuneration foreach day of delay, but not more than 15% of this amount. In the event ofwithdrawal from the Agreement in the event of withdrawal from theAgreement by the Contractor for reasons attributable to theSubcontractor (regardless of the legal basis) - in the amount of 30(say: thirty)% of the net remuneration, and in the event of withdrawalfrom a specific Order for reasons attributable to the Subcontractor (regardless of the legal basis) - in the amount of 30 (say: thirty)% ofthe net remuneration.