Body of the report:

The Management Board of Jastrzębska Spółka Węglowa S.A. (“JSW”, “Company”) reports that on 12 October 2018 the Company, as the Buyer, and PRIMETECH S.A. (previously Kopex S.A.) and PBSz 1 Sp. z o.o., as the Sellers, signed annex no. 1 to the Term Sheet of 17 July 2018 encompassing the basic terms and conditions for the sale of a 95.01% equity stake in Przedsiębiorstwo Budowy Szybów S.A. („PBSz”), about which the Company reported in Current Report No. 25/2018.

Pursuant to the annex the Parties have extended the period for negotiations to execute the PBSz share purchase agreement for the purpose of specifying the Parties’ rights and duties and the conditions for the transfer of the equity stake in PBSz to the Buyer according to the principles prescribed by the Term Sheet until 4 December 2018. The original deadline of 3 months from the date of signing the Term Sheet has been extended due to the ongoing negotiations and the overall transaction’s level of complication and complexity.

The other clauses of the Term Sheet remain unchanged.

Legal basis: Article 17 Section 1 of Regulation (EU) No. 596/2014 of the European Parliament and of the Council of 16 April 2014 on Market Abuse and Repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC.