The Management Board of ENEA SA ("Issuer"), with reference to the current report of 8 December 2016 No. 42/2016 and the current report of 17 January 2017 No. 1/2017, informs that on March 26, 2018 the Issuer concluded Annex No. 1 ("Annex") to Investment Agreement with ENERGA SA companies and Elektrownia Ostrołęka Sp. z o.o. ("Company", "Ordering Party") concerning the implementation of the Ostrołęka C. project. According to the annex signed, the parties increased the estimated total capital expenditure resulting from the commitments to be incurred at the Ostrołęka C Development Stage, ie until the moment of issuing the order commencing work (NTP - notice to proceed) for the general contractor. Investment expenditures per Issuer may amount to PLN 226 million. br> Increase in investment outlays is due to the provision of funds, among others for organizational work that will result from the contract with the general contractor, related investments and the operation of the Company. br> In addition, the Issuer informs that in the performance of the Investment Agreement the Issuer also acquired on March 23, 2018 from ENERGA S.A. a block of 1.201.036 shares in the Company, which together with the Company's shares held by the Issuer constitute a total of 50% in the share capital of the Company, for a price of approximately PLN 58 million. Together with the price paid for the previously acquired shares of the Company, this gives approx. PLN 101 million. In connection with the above, the sum of the Issuer's estimated capital expenditures resulting from the obligations incurred before issuing the order to commence work for the general contractor may amount to PLN 327 million. br> Conclusion of the Annex is not tantamount to: br> - the decision taken by the Company's Management Board to choose the General Contractor does not mean that the proceedings for awarding a public contract "Construction of Ostrołęka C Power Plant with a capacity of approx. 1,000 MW" by the Employer; br> - the expression of consent for the conclusion of a contract with the General Contractor - it is necessary to obtain the required corporate approvals beforehand, including the consent of the Issuer's Supervisory Board; br> - the expression of consent to issue a work commencement order - the issuance of NTP requires, among others, prior approval of the Issuer's Supervisory Board and previous approval by the Issuer's General Meeting for accession to the Construction Stage. br> It is estimated that capital expenditures in connection with the conclusion of the contractbetween the Contracting Party and the General Contractor, until the NTP is issued, they will not exceed the equivalent of 4% of the contract price. br>
Source: company website, investor relations, current and periodic reports.