Tauron Polska Energia S.A.

Legal Proceedings Report • May 2, 2019

Current report no. 16/2019

Ruling of the Court of Arbitration at the Polish Chamber of Commerce onthe claims of Abener Energia S.A. against Elektrociepłownia Stalowa WolaS.A.

TAURON Polska Energia S.A. ("Issuer") informs that it has receivedinformation on the issuing on April 25, 2019 of the award by the Courtof Arbitration at the Polish Chamber of Commerce in Warsaw ("ArbitrationCourt") related to the claim filed by Abener Energia S.A., with its seatin Campus Palmas Altas, Sevilla ("Abener Energia"), againstElektrociepłownia Stalowa Wola S.A., with its seat in Stalowa Wola("ECSW"), in which the Issuer holds, indirectly via its TAURONWytwarzanie S.A. subsidiary, 50 percent of shares in the share capital.

The proceedings before the Arbitration Court were related to the claimfor payment, the petition to establish legal relationship and the claimfor an injunction to submit a statement of will (intent) in conjunctionwith the terminated contract, concluded between Abener Energia (generalcontractor) and ECSW (employer), for the construction of an approx. 400MW CCGT unit, including a heat generation unit, at ElektrociepłowniaStalowa Wola S.A.

According to the ruling of the Arbitration Court, ECSW shall beobligated to pay Abener Energia the amount of PLN 333,793,359.31 plusstatutory interest for the delay and the costs of the arbitrationproceedings.

The Issuer will analyze the impact of the event on the financialposition of the Issuer's Capital Group.

An appeal to have the ruling of the Arbitration Court overturned may befiled with a common court of law. ECSW has proceeded to review theruling and statement of reasons in order to file an appeal to have itoverturned.Legal basis: Article 17 of MAR - insideinformation