Development of the Borynia-Zofiówka mine, Borynia Section

As part of its formal and legal activities (execution of a contract for a fee-based use of geological information and receipt of a decision approving the geological documentation of the “Żory-Warszowice” coal deposit) aimed at the provision and utilization of the “Żory-Warszowice” deposit, in 2012 the Parent Company incurred capital expenditures of PLN 2.9 million. The total amount of potential operable resources is estimated at 31.5 million tons. The capital expenditures scheduled for project execution associated with opening and development of the “Żory-Warszowice” deposit are estimated at PLN 575.0 million.