The Management Board of Grupa LOTOS S.A. (the “Company”) hereby publishes estimates of the LOTOS Group’s Q1 2020 consolidated operating results:

1. Estimated consolidated revenue: PLN 6.1bn
2. Estimated consolidated normalised LIFO-based EBITDA: PLN 0.67bn including:
   1. Estimated normalised LIFO-based EBITDA of the refining and marketing segment: PLN 0.49bn
   2. Estimated normalised LIFO-based EBITDA of the exploration and production segment: PLN 0.18bn
   3. Estimated consolidated normalised LIFO-based EBIT (net of one-offs): PLN 0.40bn

The Company also announces that consolidated EBIT for the reporting period was adversely affected by:

1. one-off items of PLN 0.88bn in the refining and marketing segment (including inventory write-downs of PLN 0.83bn),
2. impairment losses on non-current assets in the exploration and production segment of
   PLN 0.30bn,
3. LIFO effect on the inventory valuation of PLN 0.57bn (reducing the reported result).

The above events are a consequence of the rapid decline in prices of crude oil and refining products across global markets in Q1 2020.

As a result, the Company estimates that in Q1 2020 it will post a negative consolidated EBIT of PLN -1.36bn. 

The presented amounts are initial estimates, subject to revision. The final amounts will be published in the Q1 2020 report, due to be issued on May 14th 2020.

Legal basis: Article 17(1) of MAR – Inside information