The issue will be carried out by PGNiG Finance AB of Stockholm, a wholly-owned subsidiary of PGNiG. After the relevant documents are executed, PGNiG Finance AB will issue Eurobonds with a value of EUR 500m, a maturity of five years, and a yield of 4.098%.

The proceeds raised through the issue of bonds by PGNiG Finance AB will be used to grant a loan to PGNiG, with a view to financing the Company's investment plans.

On August 25th 2011, PGNiG SA signed  the documentation for a EUR 1.2bn Eurobond issue programme with PGNiG Finance AB (PGNiG's subsidiary) and three banks, including Societe Generale, BNP Paribas and Unicredit Bank AG. Under a five-year programme, PGNiG Finance AB will be able to issue fixed or floating rate bonds with maturities of up to 10 years. 

Furthermore, PGNiG SA provided a guarantee of up to EUR 1.5bn in respect of the liabilities of PGNiG Finance AB under the Eurobond issue, which remains valid until December 31st 2026.

Proceeds from the Eurobond issue will be used to finance investment projects envisaged in
PGNiG Group's strategy, the implementation of which is of vital importance for an improvement of Poland's energy security and the Group's value growth. In line with the Development Strategy until 2015, as updated in June 2011, in 2011-2015 the PGNiG Group intends to spend PLN 27bn on investment projects. Over a half of this amount (i.e. approximately PLN 15bn) will be spent on exploration for crude oil and natural gas, including shale gas.

Press Team

PGNiG SA