CONCLUSION OF THE CREDIT AGREEMENT FOR THE SZPROTAWA 1 PV PROJECT

The Management Board of the company under the name Polenergia S.A. (“Issuer”) hereby informs that on July 2, 2024, the Issuer’s subsidiary – Polenergia Farma Wiatrowa Namysłów sp. z o. o., developing the Szprotawa 1 photovoltaic farm project with a total capacity of 47 MWp, as a borrower (“Borrower”) and mBank S.A. and Pekao S.A., as lenders (“Lender”), have concluded a credit agreement (“Credit Agreement“).

Pursuant to the Credit Agreement, the Lender will provide the Borrower with:

• term credit facility to the total amount of PLN 90,000,000.00, intended to finance the construction of the Szprotawa 1 photovoltaic farm, with the possibility of increasing the Lender’s involvement (after meeting additional conditions specified in the Credit Agreement);
• VAT credit facility up to a maximum total amount of PLN 20,000,000.00; and
• DSR credit facility up to a maximum total amount of PLN 6,500,000.00.

In relations to the Credit Agreement, the Borrower and the Issuer are required to enter a standard security package used in project finance transactions. Borrower, among others submitted a declaration of submission to enforcement and established a registered pledge on a set of movable property and rights, while the Issuer established a registered and financial pledge on shares in the Borrower and submitted declarations of submission to enforcement.

The Credit Agreement provides for repayment of the term credit and DSR credit no later than 15 years from the date of project completion or by June 16, 2040 (whichever is earlier), and the VAT credit within six months from the date of final construction settlement, but no later than until April 30, 2026. The interest rate on credits is determined based on the WIBOR reference rate increased by the Lender’s margin.

The terms and conditions of the Credit Agreement, including those relating to collateral, contractual penalties, disbursement of financing and termination of the Credit Agreement, correspond to the provisions used in this type of transactions.

legal basis: art. 17 section 1 of the Regulation (EU) No 596/2014 of the European Parliament and of the Council on market abuse and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC (Journal of Laws EU L. of 2014, No. 173, p. 1, as amended).