Energa gets up to $1.92 bln loan for power grid investments (updated)

Energa S A

19/02/2025 11:01

(Adds more detail and context from paragraph 3)
       GDANSK, Feb 19 (Reuters) - Polish utility Energa
 ENGP.WA  said on Wednesday it has signed a loan deal for up to
7.66 billion zlotys ($1.92 billion) with Poland's development
bank BGK to invest in the company's power distribution network.
    Polish oil refiner Orlen  PKN.WA , which owns Energa, plans
to add 4.3 gigawatts (GW) of gas-fired power generation capacity
and develop four offshore wind farms under its strategy to
invest up to 380 billion zlotys by 2035.
    The 25-year loan has a fixed interest rate of 0.5% per year
as funds are disbursed under the European Union's recovery
facility, which provides Poland with nearly 60 billion euros in
grants and cheap loans.
    By 2035, Orlen plans to invest 40 billion zlotys in its
power distribution network. The investment plans assume building
11,000 kilometres of new transmission lines and upgrades of
10,000 kilometres of existing ones, Energa said in a statement.
    Major grid upgrades are necessary as new power sources,
including doubling of the utility's renewable capacity to nearly
19 gigawatts, will be located in northern Poland, where Energa
operates. 
    
($1 = 3.9924 zlotys)

 (Reporting by Rafal W. Nowak and Marek Strzelecki. Editing by
Jane Merriman)
 ((RafalWojciech.Nowak@thomsonreuters.com; +48 58 769 66 63;))