PGNiG Polish Oil & Gas Company and ORLEN Upstream, a subsidiary from the ORLEN Group, signed a Letter of Intent on cooperation in exploration, development and production of hydrocarbons in new areas in Poland. The companies express the will to cooperate in the following regions: the Pomeranian Basin, the Lublin Basin, the Fore-Sudetic Monocline, the Gorzów Block, the Carpathian Foreland, and the Carpathians.

To date, partnership operations had taken place in the areas of 15 licenses in western and south-eastern Poland. The cooperation included, among others, production of natural gas from seven deposits in the Greater Poland Province, and joint exploration and development works in other regions. Now, these operations may be expanded to new prospective areas.

“PGNiG intends to maintain the high level of investment in the exploration and production sector. The signed Letter of Intent will enable the exchange of experiences and the data collected by both companies in terms of the technology of reaching and intensification of production from deposits. This creates an opportunity to develop new concepts of operations on licences in the areas of planned cooperation,” said Piotr Woźniak, President of the Management Board of PGNiG.

“We are strengthening our exploration and production activities in Poland by steadily expanding the portfolio of upstream projects. We can bring our own experience to the cooperation with a partner, with which we have had years of joint operations. The joining of our potential increases the chances of positive results, and guarantees a range of synergies for both parties,” said Wojciech Jasiński, President of the Management Board of PKN ORLEN.

After a thorough analysis of information and geological data acquired in the areas covered by the Letter of Intent, the companies shall make the final investment decisions.

About PGNIG

The PGNiG Group is the leader of the Polish natural gas market, as well as the only vertically integrated gas company in Poland. Its parent undertaking is Polskie Górnictwo Naftowe i Gazownictwo. Formation of the Group's enabled coordination of the upstream and downstream operations - from exploration and production to storage to trade and distribution of gaseous fuels. The roots of the companies forming PGNiG date back to 19th century - to the beginnings of Polish and world oil industry. The company has been operating under the name PGNiG since 1982. In 1996, the state-owned company PGNiG was transformed into a joint stock company.

About PKN ORLEN

PKN ORLEN is a Polish company and one of Central Europe’s largest refiners of crude oil. We specialize in processing crude oil into world-class unleaded petrol, diesel, heating oil, and aviation fuel as well as plastics and other petroleum related products.

We hold licences for onshore and offshore oil and gas exploration throughout the country. One of our shared priorities is to appraise and exploit natural gas from unconventional plays. Our adopted development direction is to transform PKN ORLEN into a multiutility complex with a foothold in the power generation business.