POLAND


PROJECT:

BALTIC GAS PROJECT

CALENERGY EQUITY:

49%

LOCATION:

BALTIC SEA

OPERATOR

CALENERGY RESOURCES POLAND SP. Z O.O.


PROJECT DESCRIPTION

Under an agreement between CalEnergy and LOTOS Petrobaltic, the two companies are co-operating in the development of the B4 and B6 gas fields in the Polish sector of the Baltic Sea. The total quanties of natural gas originally in place may amount to as much as 149 Bcf. The two companies executed an agreement in Gdansk on October 30, 2012, which subsequently completed on April 9, 2013.

The project provides for joint operations of CalEnergy and LOTOS Petrobaltic to be carried out through a special purpose vehicle, whose costs and profits will be shared between its owners in the following proportion: LOTOS Petrobaltic - 51%, CalEnergy Resources - 49%.