on organic compound, the simplest aliphatic ketone; a popular solvent widely used for industrial and household applications, including the production of pharmaceuticals, colourings, paints, varnishes, and cleaning products; it is also often used as an ingredient in nail polish remover

Act on Special Rights Vested in the Minister Competent for the State Treasury

the Act on Special Rights Vested in the Minister Competent for the State Treasury and How Those Rights Should Be Exercised at Certain Companies or Groups of Companies Operating in the Power, Crude Oil and Gas Fuels Sectors, dated March 18th 2010 (Dz.U. No. 65, item 404)


the Annual General Meeting

Ambient concentration

the amount of windborne dust or gaseous substances, often transported over large distances, in a given volume of air. Such pollutants are mostly products of fuel combustion or industrial processes

Ammonium nitrate

an inorganic chemical compound and universal nitrogen fertiliser


an organic chemical compound and the simplest aromatic hydrocarbon; used in the chemical and pharmaceutical industries to produce plastics, synthetic fibres, colourings, pharmaceuticals, detergents, and pesticides, and in the synthesis of such important chemical compounds as aniline, phenol and acetone

Biochemical Oxygen Demand (BOD

a conventional measure indicating the quantity of oxygen needed during the oxidation of organic and/or inorganic compounds by microorganisms (aerobic bacteria). Water and effluent samples are tested for five days in the temperature of 20°C to measure how much oxygen is consumed in the process. The test indirectly indicates the content of biodegradable organic matter in the sample. BOD is used to measure the quality of water and treated wastewater

Biofuel and biocomponent NIT

(National Indicative Target) – a minimum share of biofuels and biocomponents in fuels in a given year to be ensured by relevant entities, chiefly oil companies supplying fuels on the market


barrel of oil equivalent

Brent/Urals differential

the difference between the price of the two crudes calculated according to the following formula: Med Strip - Ural Rdam (Ural CIF Rotterdam)


a gaseous organic compound. used in the production of synthetic rubber. Butadiene is used in the production of various kinds of synthetic rubber and latex, polybutadiene rubber, liquid polybutadiene, and ABS thermoplastics

C1 and C3 heavy fuel oils

C1 heavy fuel oil is a mixture of heavy and light components obtained by way of secondary and straight-run processing of crude oil. C1 heavy fuel oil is burned in central heating boilers, steam generators, industrial furnaces and used in industrial processes. C3 heavy fuel oil is a mixture of hydrocarbons obtained through straight-run and secondary refining of crude oil. It is burned in central heating boilers, steam generators, industrial furnaces and used in industrial processes


capital expenditure

Catalyst market

the bond market of the Warsaw Stock Exchange operated on the WSE and BondSpot trading platforms

CCGT plant in Płock

a 600 MWe Combined Cycle Gas Turbine plant to be constructed in Płock. A key part of the project will be deployment of an advanced gas turbine technology with one of the highest efficiency ratings available on the market (H-Class)


Central and Eastern Europe

Chemical Oxygen Demand (COD)

a conventional measure indicating the quantity of oxygen (expressed in mg/L) consumed from the oxidising agent (potassium dichromate, K2Cr2O7) during the oxidation of organic and some inorganic (e.g. sulfites, sulfides, iron (II), ammonia) compounds found in wastewater to the highest level of oxidation possible under given conditions. COD is used as a measure of water and wastewater pollution

CO2 emission allowances

property rights recognised as intangible assets, which are not subject to amortisation (due to high residual value) but are tested for impairment

Commercial Companies Code

the Commercial Companies Code of September 15th 2000 (Dz.U. of 2013 No. 0, item 1030, as amended)


(Conservation of Clean Air and Water in Europe) – an association of oil companies. CONCAWE’s projects provide data on the impact of the European oil industry on the natural environment and help companies implement appropriate technical measures to mitigate the harmful influence of chemical substances on people and the environment

Credit rating

an evaluation of an entity’s relative ability to meet its financial obligations, including the payment of interest and preferred dividends, repayment of principal, satisfaction of insurance claims, and performance of obligations towards trading partners. Credit ratings enable investors to assess the likelihood of receiving returns due on their investments


Corporate social responsibility is understood as a management strategy and approach to business which aims to build positive long-term relations rooted in mutual understanding of expectations and respect towards the broad business environment

DeNOx flue gas denitrification unit/technology

the selective catalytic reduction technology used at the CHP plant to reduce nitrogen oxides in flue gas to molecular nitrogen in order to meet the required emission standards


the portion of a company’s net profit paid to its shareholders per each share

Dividend payment date

the date on which dividend is paid to a company’s shareholders

Dividend record date

the date as at which the list of shareholders entitled to receive dividend for a given financial year is determined. Only those holding shares on that date are entitled to receive dividend for a given financial year


dealer-owned franchise-operated service stations


exploration and production

EBI System

the Electronic Information Base administered by the Warsaw Stock Exchange


operating profit


earnings before interest, tax, depreciation and amortisation

EII (Energy Intensity Index) according to Solomon’s methodology

a benchmark for comparing the energy efficiency of refineries


a key tool providing information on risks and effectiveness of their management to implement strategic and operational objectives


(European Petrochemical Association) – an international non-commercial organisation based in Brussels which caters to the global community of petrochemical producers, including their suppliers, customers and service providers. In the oil industry, EPCA provides a platform to meet, exchange ideas, transfer learning, and serves as a think tank challenging the status quo. EPCA operates for more than 700 member companies from 53 different countries


(European Round Table of Industrialists) – an organisation consisting of over 50 CEOs of European industrial companies, founded in 1983

ESG criteria

(Environmental, Social, Governance) – factors used to evaluate the non-financial performance of companies, states and other organisations. The criteria are composed of three elements: E – Environmental, S – Social responsibility and G – Governance. Their main function is to enable investors to compare alternative investment opportunities through analysis of the three parameters


an organic compound, the simplest unsaturated hydrocarbon (alkene); ethene. Ethene is used as a substrate in the production of polyethylene, ethyl alcohol, ethylene glycol, acetic acid, dichloroethane, and vinyl chloride. In small concentrations, ethene hastens plant growth and fruit ripening; it also stimulates the abscission of leaves and plant senescence


the EU emissions trading system, a community market for trading in CO2 emission allowances; the ETS system


(Euro Interbank Offered Rate) – an interest rate for interbank loans offered on the interbank market in the Eurozone

Fertilizers Europe

an association of Europe’s largest fertiliser manufacturers

General Directorate for Environmental Protection

(Generalna Dyrekcja Ochrony Środowiska, GDOŚ) – an institution responsible for the implementation of the environmental protection policy within the scope of the management of environmental protection activities (including Natura 2000 sites) and control of investment projects. It also carries out tasks designed to prevent and repair damage to the natural environment


the simplest dihydroxy aliphatic alcohols. Ethylene glycol is used in the production of polyesters (plastics, fibres and resins) and antifreezing formulations (as a 40-62% aqueous solution). Glycols are also used as solvents, plasticisers and ingredients of explosive materials

Gudron Hydrodesulphurisation Unit (GHO)

a refining unit where the vacuum residue from the fractional distillation unit is processed into lighter fractions and where the vacuum residue is prepared, through hydrodesulfurization, for combustion at the CHP plant


impairment losses on non-current assets recognised in accordance with IAS 36 Impairment of assets

Inactive employees

employees inactive due to long-term absence, i.e. on unpaid leaves, maternity leaves, childcare leaves, and parental leaves, or receiving rehabilitation benefits or absent due to military service

Industrial Emission Directive (IED)

Directive 2010/75/EU of the European Parliament and of the Council on industrial emissions


LIFO adjustment


(Key Performance Indicators) – financial and non-financial (e.g. downstream) indicators used to measure the progress of objectives in an organisation


(London Interbank Offered Rate) – an interest rate for interbank loans offered on the interbank market in London


reported 2014 EBITDA + inventory valuation

Light fuel oils

mixtures of petroleum-based hydrocarbons containing 9-25 coal atoms per molecule. Light fuel oil can be used to power vehicles and for heating purposes


(Liquefied Petroleum Gas) – a mixture of liquefied hydrocarbons, consisting primarily of propane and butane, and containing a small amount of propene, butene and C5 hydrocarbons. LPG is used as cooking, heating and engine fuel

Mandatory stocks

legal regulations on mandatory stocks of crude oil or fuels (excluding LPG) that have to be observed by companies and traders operating on the Polish market

Metathesis unit

a unit designed to increase annual propylene production at the Płock plant to 550,000 tonnes

Model Downstream Margin

calculated according to the following formula: revenue (90.7% Products = 22.8% Gasoline + 44.2% Diesel oil + 15.3% Heavy fuel oil + 1.0% SN 150 + 2.9% Ethylene + 2.1% Propylene + 1.2% Benzene + 1.2% PX) minus costs (100% of feed = 6.5% Brent crude + 91.1% URALS crude + 2.4% Natural gas)

Model Petrochemical Margin

calculated according to the following formula: revenue from sales of products (98% Products = 44% HDPE + 7% LDPE + 35% PP Homo + 12% PP Copo) minus costs (100% of feed = 75% crude oil + 25% LS VGO); based on market prices, contract prices

Model Refining Margin

alculated according to the following formula: revenue from sales of products (93.5% Products = 36% Gasoline + 43% Diesel oil + 14,5% Heavy fuel oil) minus costs (100% of feed: crude oil and other feedstock); total feed calculated based on Brent crude prices on the spot market


a stock index comprising 40 medium-sized companies listed of the WSE Main Market

Net wells

the number of wells adjusted for other partners’ interests


the Organization of the Petroleum Exporting Countries headquartered in Vienna, which aims to coordinate and unify the petroleum policies of its members. OPEC comprises the following members: Algieria, Angola, Saudi Arabia, Ecuador, Iraq, Iran ,Qatar, Kuwait, Libya, Nigeria, Venezuela, and United Arab Emirates


an organic chemical compound and aromatic hydrocarbon, a derivative of benzene. It is used as an intermediate product in the production of phthalic anhydride and motor gasolines, and as a paint and varnish solvent and thinner


an organic chemical compound used in the production of polyamide fibres, phenoplasts, colourings, pharmaceuticals, and plant protection products. It also has antiseptic and conserving properties

Polish Power Exchange

(Towarowa Giełda Energii, TGE) – an exchange where electricity, liquid and gas fuels, and emission allowances are traded. The Polish Power Exchange began operations on June 30th 2000, which is when the first electricity supply contracts were executed on its Day-Ahead Market. It currently operates the Day-Ahead Market, Commodity Forward Instruments Market with Physical Delivery, and the RES and Co-Generation Property Rights Market. The Polish Power Exchange also maintains a register of certificates of origin for electricity produced from RES and high-efficiency co-generation, and operates a CO2 emission allowance market


a polymer obtained through the polymerisation of ethylene (ethene). Polyethyelene is used in the production of prostheses, electrical insulation, films, pipes, tubing, containers, hockey sticks, skis, sails, ropes, bulletproof vests, toys, and packaging


a polymer obtained through the stereospecific polymerization of propene, used to produce fibres, films, and technical-grade products


an organic compound, unsaturated hydrocarbon. Propylene is used to produce various organic compounds, such as polypropylene, isopropyl alcohol, glycerin, and isopropylbenzene


polyvinyl chloride, a plastic polymer typically used in the production of flooring, window and door frames, accessories (various types of edge banding), piping and fittings for indoor installations, sidings, films, and electrical insulation (for wires and cables)


Under the REACH regulation, the MSDS documents form the key tool used in order to ensure information flow along the supply chain. Pursuant to Art. 31 of REACH, the supplier of a substance or mixture is required to deliver to the customer an MSDS document in the official language of the member state in whose territory a given substance or mixture is marketed

Respect index

an index comprising socially responsible companies listed on the Main Market of the Warsaw Stock Exchange. Corporate social responsibility is understood as a management strategy and approach to business which aims to build positive long-term relations rooted in mutual understanding of expectations and respect towards the broad business environment

Responsible Care

The ‘Responsible Care’ programme has operated in Poland for 22 years under the auspices of the Polish Chamber of Chemical Industry. It is a global pro-environmental initiative of the chemical industry, implemented in Poland by 31 companies from the chemical and related sectors, which engage on a voluntary basis in environmental protection, health protection, and process safety enhancement projects

Responsible Care Framework Management System Certificate

a document certifying that PKN ORLEN operates in compliance with the highest management standards in the areas of health, safety and environmental protection and in accordance with the principle of sustainable development and corporate social responsibility, as well as legally prescribed environmental standards. All work is carried out in a professional manner, with due consideration to current and future environmental impacts


(Selective Catalytic Reduction) unit – a flue gas denitrification unit which uses selective catalytic reduction to treat the flue gas from steam generators. The SCR unit installed on boilers is part of the PKN ORLEN ‘Green Energy’ Investment Programme launched in 2010, which aims to bring the CHP plant in Płock in compliance with the requirements effective as of 2016

Soda lye

an aqueous solution of sodium hydroxide (NaOH).It is used in many industries as a chemical base in the production of organic and inorganic chemicals, pulp, aluminium and other metals, textiles, as well as in the production of food and treatment of water

Terephthalic acid

an organic chemical compound and aromatic acid. Purified terephthalic acid (PTA) is used primarily in the production of polyethylene terephthalate (PET), polyester fibres and polyamide fibres with a high tensile strength

TG7 turbine generator set

a 70 MWe pass-out and condensing turbine generator set installed in the CHP plant’s existing structure to increase its generation potential


Authorised Economic Operator (AEO) certificate found in the Community Customs Code, the concept of the Authorised Economic Operator was introduced into the European Union’s legal framework on January 1st 2008 to create a secure supply chain and combat terrorism. Entities awarded the Authorised Economic Operator status enjoy multiple benefits in conducting their trade activities. AEO status awarded in one EU member state is recognised across the entire Community

The Minister of the Environment’s Regulation of August 24th 2012

concerning the concentration of certain substances in the air (Dz.U. of 2012, No. 177, item 1031)


an organic chemical compound and aromatic hydrocarbon. High-purity toluene is typically used as an intermediate product in the production of organic intermediate products, colourings, detergents, solvents, adhesives, explosive materials, and motor fuels


Total Recordable Rate - an international measure of the number of accidents at a company. At PKN ORLEN, the TRR is calculated according to the following formula: TRR = (number of accidents at work in a given period with post-accident absenteeism / number of man-hours worked in the period) * 1,000,000

TSR (Total Shareholder Return)

an economic measure indicating returns to investors holding shares in a company in a given period


(Vilnius Inter Bank Offered Rate) – an interest rate for interbank loans offered on the Lithuanian interbank market

Waste Management Procedure

an internal document of the Company regulating its waste management procedures, prepared in accordance with applicable laws


(Warsaw Interbank Offered Rate) – an interest rate for interbank loans offered on the Polish interbank market

WIG Poland

a stock index comprising only the shares of Polish companies traded on the WSE Main Market which satisfy the basic eligibility criteria


an industry index comprising WIG index companies operating in the fuel sector


a stock index calculated based on the value of the 20 largest and most liquid stocks traded on the WSE Main Market


a stock index calculated based on the value of the 30 largest and most liquid stocks traded on the WSE Main Market


trade receivables + inventories - trade payables