KGHM POLSKA MIEDŹ SA (39/2024) Zgoda na udzielenie gwarancji korporacyjnej dla Sierra Gorda S.C.M.

Consent to issue a corporate guarantee to Sierra Gorda S.C.M.

The Management Board of KGHM Polska Miedź S.A. ("the Company") announces

that on 11 September 2024 the Company's Management Board adopted a

resolution on consenting to issue a corporate guarantee to secure

liabilities of Sierra Gorda S.C.M. ("Sierra Gorda") due to Sierra

Gorda's planned conclusion of a revolving credit facility agreement with

a bank consortium.

The realisation of liabilities under the aforementioned revolving credit

facility agreement will be secured by the corporate guarantee issued by

both owners of Sierra Gorda. The maximum value of the guarantee issued

by the Company derives from the shares held in Sierra Gorda (55%) and

from the total value of the credit facility (up to the amount of USD 500

million) and will amount to up to USD 275 million (or PLN 1 067 million

per the NBP's average exchange rate on 10 September 2024).

The funds acquired through the aforementioned financing will be used to

refinance the current external debt due to the bank loan granted to

Sierra Gorda by Bank Gospodarstwa Krajowego, as well as for ongoing

activities of Sierra Gorda.

The funds from the revolving credit facility agreement may be paid out

once all the formal conditions precedent have been met. Moreover, the

Management Board of KGHM Polska Miedź S.A. announces that the Company

will publish a separate regulatory filing if the aforementioned

revolving credit facility agreement is not concluded by 30 September

2024 or if the conditions precedent to paying out the funds due to the

credit facility are not met.

Legal basis: Art. 17 (1) of MAR (Regulation (EU) No 596/2014 of the

European Parliament and of the Council of 16 April 2014 on market abuse

(market abuse regulation) 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 (Official Journal of the

European Union dated 12 June 2014, no. L 173/1)

More information on page: http://biznes.pap.pl/en/reports/espi/all,0,0,0,1

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