Coal contract of the ages

This day Elektrownia „Kozienice” S.A. and Kopalnia LW „Bogdanka” S.A. concluded a mutiannual contract for deliveries of energetic coal for the needs of a newly constructed power unit in Kozienice Power Plant. The Contract was concluded for the term till the end of 2036.

Also today Elektrownia „Kozienice” S.A. and Kopalnia LW „Bogdanka” S.A. signed an Annex No 1 to the present multiannual contract for deliveries of energetic coal which is still biding till 31 December 2005.

Presently, Elektrownia „Kozienice” S.A. and Kopalnia LW „Bogdanka” S.A. are bound by two multiannual contracts the total value of which during 2011-2036 according to current prices amounts to around PLN 22.772 bln.

A tender for the construction of a new power unit with the capacity of 1,000 MW is entering a decisive stage. A decision on a selection of a contractor is to be made on the turn of March and April 2012. Participation in the proceedings was reported by 9 Contractors. The Ordering Party qualified 7 of them to the next stage of the proceedings. Preliminary offers were made by 3 Contractors. In December 2011 the Power Plant invited the contractors to submit offers including prices. Commencement of realisation of works is planned for the second quarter of 2012. The investment was financed from own funds of ENEA concern and its 10-year bond issue programme. The new unit will enhance production capacities of Kozienice Power Plant by 1/3.