OPENING OF A PLANT FOR THE PRODUCTION OF CEMENT AND MINERAL GROUTS FOR JSW MINES On 27 January 2021 PGWiR commissioned a plant for the production of cement and mineral grouts for JSW mines. The value of the project amounted to PLN 3.5 million. The production capacity allows for production of 15 thousand tons of grout per year and is able to meet the demand of JSW’s mines.
JSW INVESTS IN FUTURE EMPLOYEES On 19 February 2021 JSW signed a cooperation agreement with schools involved in educating mining professions and specialties. The agreement was signed in the Gliwice County Hall and pertains to pupils who start and continue school in the 2021/2022 school year. The cooperation between JSW and the County Hall involves teaching, practical classes for students and hiring graduates of the Vocational Schools Complex no. 2 in Knurów.
In June 2021 JSW signed, for the fifth time, an agreement on cooperation with the Rybnik County and the School Complex in Czerwionka-Leszczyny. Under the agreement, JSW will provide students with the opportunity to undergo vocational training and guarantee employment in its mines.
DIGITAL TRANSFORMATION IN MINING On 24-25 February 2021, an online conference “Mining Geomatics – the role of geoinformation in digital transformation of spatial mining data” was held. The organizers of the conference included: JSW, JSW IT Systems, JSW SiG and the Mining Geomatics Committee at the Polish Association for Spatial Information at the AGH University of Science and Technology.
METHANE AND ITS ECONOMIC UTILIZATION IN JSW JSW has launched a special website about methane and its economic use in the Company’s plants. The information presented on the website concerns actions taken by JSW with a view to reducing methane emissions into the air.
EXTENSION OF THE EMPLOYMENT GUARANTEE HELD BY JSW EMPLOYEES On 30 March 2021, the JSW Management Board adopted a resolution to extend the term of validity of the Collective Bargaining Agreement of 5 May 2011 pertaining to the employment guarantee held by JSW employees.
On 31 March 2021 the JSW Management Board signed a Collective Agreement with Representative Trade Union Organizations operating in JSW. The Agreement provides for employment guarantees for all JSW employees for a term of 10 years starting from the date of execution of the Agreement. More details are provided in Section 9.7.3. of this report.
ACTIVITIES OF THE GROUP AMONG THE BEST CORPORATE RESPONSIBILITY PRACTICES On 15 April 2021, the Responsible Business Forum in Poland announced its nineteenth report entitled “Responsible Business in Poland”. Once again experts noted the activities undertaken by the JSW Group. Five of the JSW Group’s best practices were cited: “Rescue workers vs. COVID-19”, “STOP HATE! social campaign, Don’t blacken miners”, “Medicine for COVID-19 thanks to JSW miners”, “Zodox” and “JSW Knowledge Mine: educational portal for children”.
INCREASE OF SALARY RATES FOR JSW EMPLOYEES On 28 April 2021 the JSW Management Board made a decision to introduce as of 1 July 2021 an increase in base salary rates by 3.4% for all JSW employees. This decision means that the labor costs in JSW will increase by approx. PLN 110.0 million per annum.
JSW AWARDS SCHOLARSHIPS FOR BEST STUDENTS For the third time, JSW has awarded special scholarships to the best pupils of mining schools in the region. This year 33 pupils attending schools in Knurów, Jastrzębie-Zdrój, Ornontowice, Czerwionka-Leszczyny and Pawłowice received scholarships. The JSW scholarship program covers over 1000 students of schools specializing in teaching mining professions. Additionally, for three years, JSW has been awarding students who received the best grades during the school year.
„SILESIAN DEAL” CONFERENCE In July 2021 the third conference entitled the Silesian Deal attended by Poland’s Prime Minister Mateusz Morawiecki was held. The topic of debate was raw material and energy security during the time of the European Green Deal and the Polish Deal. The participants in the debate discussed the challenges related to energy transition, among other topics.
CO-FUNDING AGREEMENTS WITH NATIONAL FUND FOR ENVIRONMENTAL PROTECTION AND WATER MANAGEMENT On 20 July 2021, JSW signed with NFOŚiGW an agreement for co-funding in the form of a loan up to PLN 24.5 million for the project entitled “Reclamation of land between the Szotkówka river and the Pochwacie spoil heap in Połomia - Stage II”. As at the date of approval of this report the funding has not been disbursed.
On 8 November 2021, JSW signed a co-funding agreement with NFOŚiGW in the form of a loan up to PLN 60.0 million for the project entitled: “Commercial utilization of methane – Knurów Section”. The carrying value of the loan as at 31 December 2021 was PLN 57.1 million.
EXECUTION OF A MEMORANDUM OF AGREEMENT WITH THE TRADE UNIONS On 13 September 2021 the JSW Management Board signed a Memorandum of Agreement with Representative Trade Union Organizations under which the Parties agreed the following: new tables containing base pay rates to be applied as of 1 September 2021, a one-off bonus to be paid to employees and the value of the meal and the preventive meal will be increased. More details are provided in Section 9.7.3. of this report.
PFR DECISION TO PARTIALLY FORGIVE THE PREFERENTIAL LOANS GRANTED TO JSW AND JSW KOKS On 23 September 2021, JSW and JSW KOKS received from PFR "Statements on partial release of debt and the amount of forgiveness of preferential loans" which the Parent Company and JSW KOKS received from PFR. On the basis of the representations received, PFR forgave the granted preferential loans in part, i.e. in the amount of PLN 89.2 million for JSW and PLN 18.7 million for JSW KOKS. The loans were forgiven effective as of 24 September 2021.
JSW IS PART OF THE EUROPEAN GREEN DEAL In September 2021, JSW participated in the European Economic Congress in Katowice, during which it was recognized for capturing methane and using it in cogeneration engines at KWK Knurów-Szczygłowice. Some of the methane is used for the mine's own needs – for production of electricity and heat – and the rest is sold to external companies.
COMPLETION OF DEEPENING OF VENTILATION SHAFT IV IN KWK PNIÓWEK On 24 September 2021, KWK Pniówek completed the work on deepening ventilation shaft IV. In the first stage, the shaft was deepened from the level of 705 to 855 meters and in the second stage to 969 meters. Thanks to this project the mine will be able to the safely continue to develop level 1000 of its western section, and in the future, begin the construction of level 1140. In addition, during the sinking of the shaft, the mine began the removal of many kilometers of workings through which used air was discharged.
HONORARY DISTINCTION FOR KWK KNURÓW SZCZYGŁOWICE DIRECTOR Jarosław Twardokęs, Director of KWK Knurów-Szczygłowice, was awarded with the “Golden Badge of Honor for Services to the Silesian Voivodship”. This is a special form of thanks for the help and support given to the hospital in Knurów during the coronavirus pandemic.
COOPERATION AGREEMENT On 11 October 2021, JSW and the University of Economics in Katowice signed a cooperation agreement. The signed agreement concerns, among other things, support for the process of profiling and enriching specialized education programs, with special emphasis on practical majors.
BEST ANNUAL REPORT JSW received the second main prize in "The Best Annual Report" competition in the "Enterprises" category. This is a competition for the best annual report in terms of value for shareholders and investors organized by the Institute of Accountancy and Taxes.
JSW WITH AWARD FOR CORPORATE FILM The film entitled "Budryk – an irreplaceable coal mine" won the first prize at the 16th FilmAT Festival Awards in the category: "Corporate Films – Current Issues".
REPAYMENT OF THE PREFERENTIAL LOAN BY JSW KOKS On 29 October 2021, JSW KOKS repaid the balance of PFR’s preferential loan in the amount of PLN 4.1 million.
TRANSFER OF A DESIGNATED PART OF THE "JASTRZĘBIE III" MINE TO SRK On 10 November 2021 the JSW Management Board adopted a resolution approving, among other things, the carve-out from the KWK "Jastrzębie-Bzie" mine of an organized part of JSW's enterprise in the form of the "Jastrzębie III" Mining Area in KWK "Jastrzębie-Bzie" (“OPE") with the aim of disposing of the OPE free of charge ("Transaction") to Spółka Restrukturyzacji Kopalń S.A. ("SRK").
A free-of-charge disposal agreement was entered into on 31 December 2021 by and between JSW and SRK. The details of the contract are described in Section 5.7 of this report.
COMPLETION OF SHAFT DEEPENING The modernization of the mine shaft hoist in the northern compartment of Shaft VI at KWK Budryk was completed in November 2021. As of 4 December 2021 the shaft can be used to descend to all of the levels in the mine. The modernized shaft hoist will streamline the logistics of transporting staff and materials, which will largely translate into more efficient working time.
SALARY AGREEMENT On 28 January 2022, a wage agreement was signed between the JSW Management Board and Representative Trade Union Organizations. According to the agreement, the base pay rates for JSW employees are scheduled to be increased by 10% as of 1 January 2022. Similarly, the payments for preventive meals are to grow from PLN 21.0 to PLN 30.0.
APPROVING THE STRATEGY OF JSW S.A. INCLUDING JSW GROUP SUBSIDIARIES FOR 2022-2030 On 25 February 2022 the Supervisory Board adopted a resolution to approve the Strategy for JSW and the Subsidiaries of the JSW Group for 2022-2030 (“Strategy”) adopted by the JSW Management Board, which is an update of the Group’s hitherto Strategy. Strategic objectives have been defined, which are parameterized in accordance with the current and forecast market standing of the company.