Current reports
Current report no. 15/2017
Information on the increase of the provision for the mining segment
Legal basis:
Article 17 Section 1 of the MAR – inside information
Contents of the report:
Zespół Elektrowni „Pątnów-Adamów-Konin” SA („Company”) informs the public about intention to increase reclamation provision. The provision is related to the exploitation of lignite mines and refers to the estimated reclamation cost of mining areas after its completion. The basis for provision increase is report about costs of reclamation and development of excavations and post-mining areas, prepared by an independent advisor. The Company ordered the preparation of the report due to the necessity of update of assumptions which are considered during estimation of reclamation costs. The costs related to increase of the provision will be activated by PAK Kopalnia Węgla Brunatnego Konin SA (the subsidiary to the Company) after completion of exploitation of open pits ie. after 2020 and 2030 respectively.
In the Company’s Management Board opinion the increase of the provision will affect consolidated results of the ZE PAK SA Group results ie. there will be decrease of the gross result by approximately PLN 46 million and net result by PLN 35 million.
The Company disclaims that presented influence of the provision increase on the ZE PAK SA Group financial results is only estimation and that’s why above amounts are not final and may be changed.
Signatures of persons representing the company:
Adam Kłapszta – President of the Management Board
Aneta Lato-Żuchowska – Vice President of the Management Board