PGNiG Supply & Trading GmbH Company Overview

March 2019

PGNiG Supply & Trading GmbH A Strong Group

2

› PGNiG S.A.: Heritage of 150 years in the Polish energy market

› PGNiG Supply & Trading GmbH (PST): Electricity & natural gas trading, access to European wholesale markets and tailor-made solutions

› PST Europe Sales GmbH (PST ES): Fair and transparent energy products for household-, business- and industrial customers

› XOOL GmbH: Natural gas for household customers

› PST and PST ES are certified climate-neutral companies

PGNiG S.A. Polskie Górnictwo Naftowe i Gazownictwo S.A.

3

PGNiG: Polish Oil and Gas Company › Poland’s No. 1 integrated group in the oil and gas sector › 3rd biggest industrial Polish company listed at the Warsaw Stock Exchange* › 100% shareholder of PGNiG Supply & Trading GmbH

Generation & Production

Trade & Storage

Distribution

Heat and Power Generation

› 25.3k employees and more than 30 subsidiaries worldwide › EBITDA 2018: 7,1 PLNbn › 29,1 bcm gas sold / 29,3 boe of natural gas

produced in 2018

› Shareholders: 71,88%

28,12%

Polish State Treasury

Free Float* In terms of market cap as of as of Dec 28th 2018 (without divident)

PGNiG Supply & Trading GmbH Energy With European Self-Reliance

4

PST: PGNiG Supply & Trading GmbH › Officially established in 2010, operative since 2011 › 50 employees located in Munich, 7 in London › Offices in the heart of Munich, LNG subsidiary in London, branches in Poland, Czech Republic and Austria

› Direct access to all relevant European energy trading markets, exchanges and hubs

› Access to the global gas market through the LNG trading branch in London

› Offtake of gas from group-owned Norwegian fields

Bridge to global markets for the group’s gas business

Access to group‘s production sources and to diverse markets allow for security of supply at fair market prices

PST Europe Sales GmbH Sustainable Energy Products for End Customers

5

PST ES: PST Europe Sales GmbH › 100% subsidiary of PGNiG Supply & Trading GmbH › Founded in 2015 to manage the group’s retail and sales portfolio › PST “purenergy” - Green electricity and natural gas with option of

CO2-neutrality for household and business customers in Germany and Austria

› PST “BluEnergy” cooperation with American Express › Polska Energia – Polish brand for power and gas customers › “Happy Energy” - straightforward, transparent energy for households › XOOL GmbH – 100% owned by PST ES: natural gas retail portfolio

for household customers

Commitment to a greener world With the global initiative “Plant-for-the-planet”, PST ES will plant a tree

for every new “purenergy” and “BluEnergy” customer

PGNiG Supply & Trading GmbH Key-figures: Trading

6

› Natural Gas is PST‘s primary commodity › PST is an essential trading gearwheel in the

PGNiG Group: support of PGNiGs gas portfolio in Poland and offtake of gas produced in Norway

› Diverse energy sourcing leads to security of supply and stable market position

› Deliveries from Germany to Poland reached an all time high in 2017

› EBIT** 2017 significantly above plan driven mostly by an increase in natural gas trading on European markets

0

10

20

30

40

50

60

2014 2015 2016 2017 2018*

Trading Volume [TWh]

PowerGas

* planned volumes

2014 2015 2016 2017

Gross Sales 906,420 839,169 534,807 1,034,005

Costs 908,066 840,946 526,313 1,031,707

EBIT** -1,646 -1,777 8,494 2,298

Trading activities had a record year in 2017 in terms of both traded volumes and revenues.

** PST EBIT, not consolidated with PST ES

Financials [k€]

PGNiG Supply & Trading GmbH Trading Activities and Products

7

Market Access Standard Products

Loadshapes / Profiles LNG markets

Individual Client Requests

Tailored Solutions Structured Products

Tranche Products Energy Price Optimization

Index Products Liquid and transparent

Index Products Portfolio Service Position Analysis and

Reporting Portfolio Documentation

Flexibility Products Flexible Contracts

Storages TempFlex

Full Supply

Balancing Group Management

24/7-Operations, EDM Load Forecasting

Small Scale LNG Independent Sourcing

Filling Stations

PGNiG Supply & Trading GmbH Natural Gas: Strong support for Energy Transition

8

* Estimates based on BDEW (2017); due to data security concerns, only cumulated values are published from official sources. ** BDEW (2019): Positionierungsstudie Erdgas 2018 *** AGEB (2019): Primärenergieverbrauch Jahr 2018 aktualisiert 27. März 2019

› Significant reduction in primary energy consumption in 2018 (3,5%) due to mild temperatures and increase in efficiency

› Natural gas consumption remains strong, (-1,6%) showing significantly lower losses than all other fossil fuels: Lignite (-2,9%), Oil (-5%) and Hard Coal (-11,2%)***

› Natural gas is the most popular resource for heating in Germany according to BDEW**

› Germany imports 94% of its natural gas demand › Supply of pipeline gas dominated by three major sources › LNG plays an important role in avoiding dependency on single

big players and sustaining security of supply

PST, along with PGNiG S.A., actively seeks to diversify supply sources and promote the importance of LNG, complementing the

green energy transition and providing innovative solutions.

24%

34% 14%

12%

11% 6%

Natural Gas

Oil

Renewables

Lignite

Hard Coal

Nuclear Power

38%

31%

22%

6%

3%

Russia

Norway

Netherlands

Germany

Others

Primary energy consumption in Germany >> Natural Gas remains second biggest fuel source (BMWi, 2018)

2017 Natural Gas consumption in Germany by country of origin*

Key Market Insights 2018

PGNiG Supply & Trading GmbH A Global Player In LNG

9

LNG Trading Branch in London › London LNG competence center active since February 2017 › Short- and mid term LNG trading and optimization › PST completed several spot transactions since 2016 and is

sourcing LNG on a mid-term base from Sabine Pass Terminal

Key Hub: LNG Terminal Świnoujście in Poland › Largest LNG regasification facility in the Baltic region › PGNiG S.A. is sole long term regasification capacity holder › Long-term agreements for American LNG in place › LNG supplies on short-/mid-term managed by PST London

PGNiG Group with PST as a central gearwheel, has established a global presence on LNG markets

PGNiG Supply & Trading GmbH Individual Small Scale Solutions: LNG as Fuel for Trucks, Ships and Industry

10

New technologies allow PST to supply customers with infrastructure and LNG as fuel for trucks, ships and industrial processes

Thank you very much for your attention!