PĄGÓW WIND FARM PROJECT SALE

Polish Energy Partners S.A. (‘PEP’) hereby informs that on 22nd December 2010 PEP and Elektrownia Połaniec S.A. – Grupa GDF Suez Energia Polska (‘GDF’) and Lewanter Sp. z o.o. (‘SPV’) concluded a number of agreements, as a result of which (i) SPV acquired from PEP the right to implementation of Pągów Wind Farm Project (‘Project’), (ii) GDF acquired 100% of SPV shares (‘Agreements’). PEP shall be paid for the sale of the Project in two installments: 1st installment of 90% of the total amount charged will be payable upon SPV receiving of the final Pągów Wind Farm building permits (which is scheduled for February 2011), and 2nd installment of 10% of the total amount charged will be payable upon SPV obtaining the final Pągów Wind Farm use permit. Simultaneously with the payment of 1st installment SPV shall repay the loans granted to it by PEP. The Agreements do not include provisions on contractual penalties. The total value of PEP inflows from performance of the Agreements will amount to approximately PLN 42.8 million. The transaction will be recognised by PEP in the results for 4th quarter 2010. The transaction impact upon PEP unit and consolidated net profit will amount to approximately PLN 25.6 million. The aforementioned transaction constitutes implementation of the plan of sale of two fully developed wind farm projects in 2010 which is the basis of the forecast for 2010. Since the Agreements value exceeds 10% of the Company’s equities, they were classified as the material ones.