PGE Polska Grupa Energetyczna S.A.

Regulatory Filings • May 11, 2017

PGE and EDF have signed put option agreement regarding the sale of EDFassets in Poland

The Management Board of PGE Polska Grupa Energetyczna S.A. ("PGE", the"Company") discloses that on May 11, 2017 PGE and EDF International SASand EDF Investment II B.V. (jointly "EDF") have signed Put OptionAgreement (the "POA") regarding the sale of EDF assets in Poland. PGE -previously declaring 60% share in the transaction to be executed withbusiness partners - currently is acting as the sole bidder in thetransaction and has committed to individually buy assets of EDF inPoland, including:

(i) acquisition of all shares held by EDF in EDF Polska S.A., which isthe owner of in particular: 4 CHPs i.e. Kraków, Gdańsk, Gdynia andToruń, district heating network in Toruń and Rybnik power plant, and

(ii) acquisition of all shares of EDF in Zespół ElektrociepłowniWrocławskich Kogeneracja S.A., which is the owner of 4 CHPs i.e.Wrocław, Zielona Góra, Czechnica and Zawidawie and district heatingnetwork in Zielona Góra, Siechnica and Zawidawie.

POA's terms provide EDF with the option to call PGE to sign the Sharesale agreement (the "SSA") for the above mentioned assets, provided thatcertain conditions are met, including inter alia EDF's corporateapprovals for the sale transaction.

SSA shall be signed no later than July 26, 2017. The Company will informin a separate current report about further steps in the transaction.