In addition to the information announced by Grupa LOTOS S.A. (“Company”) in the Management’s Discussion and Analysis of Q3 2017 consolidated results (“Management’s Discussion”), the Company’s Management Board announces that:
1 The risk of failure to meet the contractual target date of reaching the Ready for Start Up (RFSU) status by the Delayed Coking Unit (DCU), as announced in the Management’s Discussion, will materialise;
2 As a result of the delay in the contractual RFSU date, the assumed economic effects of the EFRA project operation (as announced in Current Report No. 24/2015 and the Company’s subsequent public announcements) will not yet fully show in the Group’s consolidated results for 2018.
These conclusions are based on the current status of talks concerning the EFRA project between LOTOS Asfalt Sp. z o.o. (a subsidiary of Grupa LOTOS S.A.), the Company and KT-Kinetics Technology S.p.A. (the General Contractor for the EFRA project), as well as the Management Board’s own analyses.
The Company’s Management Board emphasises that the delays in the EFRA project are not caused by the Company or its Group companies.
The Company will promptly disclose any significant matters affecting the EFRA project in further current reports.
Legal basis: Article 17(1) of MAR – inside information.