Signing a letter of intent

Date of publication: 20.02.2018

The Management Board of PROCHEM S.A. informs that on February 20, 2018, the Issuer received a signed letter of intent with BIOAGRA S.A. with its registered office in Warsaw concerning the construction by the Issuer, in the formula of General Contractor “turnkey”, cogeneration installation with a reserve-peak load boiler, allowing the production of about 8 MW of electricity and about 30 t/h of steam together with accompanying installations, for the needs of the Ethanol Production Plant “Goświnowice”.

The lump sum remuneration of the Issuer agreed by the Parties is PLN 37 650 000 net.

The date of implementation was specified by the Parties in the letter of intent for May 31, 2019, provided that the contract is signed by the Parties by March 15, 2018.