POLENERGIA GROUP STRATEGY 2030 – DISCLOSURE OF POSTPONED CONFIDENTIAL INFORMATION

The Management Board of the company Polenergia S.A. (the “Issuer“), acting pursuant to Article 17 (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 (OJ. EU. L. of 2014. No. 173, p. 1, as amended, hereinafter: “MAR Regulation“), hereby announces the adoption, on 18 March 2025, of the Polenergia Group Strategy for the years 2025-2030 (“Polenergia Group Strategy“) by the Company’s Management Board. When devising the Polenergia Group Strategy, current and forecast situation in the power sector was considered, the analysis of the macroeconomic, marketplace and regulatory environment was performed and assumptions were made regarding the directions of the sector’s development in the next six years’ time horizon.

Polenergia Group Strategy provides for the development of the most promising directions of the RES market, while limiting the activities of areas that do not generate sufficient added value and do not create synergies with the core business. It is an ambition and mission of the Polenergia Group to continue activities related to the process of Poland’s transition to green energy using innovative solutions that support the efficiency of obtaining energy from renewable sources.

Polenergia Group Strategy is based on maximizing value for shareholders by efficiently exploiting market growth opportunities and achieving attractive rates of return, thus providing a solid foundation for long-term growth and stable financial performance.

Priority is given to the implementation of the offshore wind power projects Bałtyk 2 and 3, and Bałtyk 1 (ca. 3,000 MW in total, projects being developed by a JV), which will generate stable and high EBITDA.

In parallel, the growth of onshore wind power capacity in Poland with an attractive rate of return will be continued using the Group’s existing assets (ca. 50 MW). The Strategy provides for further development of photovoltaic projects based on existing assets (through cable pooling), combined with energy storage (a total increase of 100 MW).

In addition, the Group will work to strengthen the competence and efficiency of sales under PPAs, which will ensure profitability of generation assets.

The Strategy provides for further development of  the wind project in Romania.

At the same time, in accordance with the strategy, the Company will gradually withdraw from the electromobility and hydrogen business. In other areas, the Issuer will continue its review of strategic options, which is aimed at selecting the most favorable way to achieve the Company’s long-term goal of maximizing the value for the Company’s current and future shareholders.

As a result of the activities in the abovementioned directions, the Strategy envisages:

– an increase in the generation capacity for the Polenergia Group from the current 0.6 GW up to 1.5 GW in 2030;

– an increase in EBITDA to ca. PLN 1.6 billion in 2030.

– capital expenditures of ca. PLN 4.6 billion, mainly for investments related to offshore wind power development.

The financing of the implementation of the Polenergia Group Strategy will come from funds generated by the Company, including, without limitation, the intended divestments, as well as external financing, which, depending on the amount required, the market situation and other factors, will be raised in the form of bank loans, bond issues, as well as funds from current or future investors, in the form of share issues or hybrid instruments.

Due to high capital expenditures, the Company’s Management Board does not intend to recommend any dividend payments over the Strategy’s horizon.

Also, the Company’s Management Board advises that the Company has analyzed the impacts of the goals and objectives of the new strategy according to the ESRS2 SBM-3 guidelines on the ESG strategy and the achievement of sustainability goals.

The strategy provides for stable growth of the Polenergia Group in the most promising market segments based on revenues secured through PPAs and CFDs.

The information on the adoption of the Strategy by the Management Board was considered by the Issuer to be confidential information within the meaning of the MAR Regulation on 18 March 2025, the disclosure of which was postponed by the Company pending a decision by the Company’s Supervisory Board, in accordance with Article 17(4) of the MAR Regulation. In view of the approval of the Strategy by the Supervisory Board on 25 March 2025, the Issuer hereby makes a public disclosure of the contents of the postponed  confidential information.

In accordance with the wording of the third paragraph of Article 17(4) of the MAR Regulation, immediately after the publication of this report, the Issuer shall inform the Financial Supervision Commission of the postponement of disclosure of confidential information, together with a statement of meeting the prerequisites for such postponement.

Legal grounds: Article 17(1) and 17(4) 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.

Issuer’s Management Board