Selection of the bid placed by Izostal S.A. (Consortium's leader) as the most favorable in the public procurement procedure regarding the purchase of pipes and fittings for extraction drillings for 2011 and 2012 ordered by Polskie Górnictwo Naftowe i Gazownictwo SA.

Date of issue: 2011-11-21

Legal basis:  Art. 56 clause 1 item 1 of the Offering Act - confidential information

SUBJECT: Selection of the bid placed by Izostal S.A. (Consortium's leader) as the most favorable in the public procurement procedure regarding the purchase of pipes and fittings for extraction drillings for 2011 and 2012 ordered by Polskie Górnictwo Naftowe i Gazownictwo SA.

CONTENT OF THE REPORT:
On November 21, 2011 the Management Board of Izostal S.A. (Company) received a letter of notification from Polskie Górnictwo Naftowe i Gazownictwo S.A. seated in Warsaw (Ordering Party) on the selection of the bids submitted by Izostal S.A. (consortium's leader) as the most favorable ones for 4 out of 12 specific parts of the public procurement order:  "Purchase of pipes and fittings for extraction drillings for 2011 and 2012".
In this public procurement procedure the bid submitted by Izostal S.A. was selected as the most favorable one for parts 1, 2, 6 and 7 of the contract. The value of the bids submitted by the Company is as follows, respectively:

For part 1:  PLN 15,245,347.60 net, that is PLN 18,751,777.55 gross
For part 2:  PLN 14,773,170.73 net, that is PLN 18,171,000.00 gross
For part 6:  PLN 9,800,813.01 net, that is PLN 12,055,000.00 gross
For part 7:  PLN 10,413,008.13 net, that is PLN 12,808,000.00 gross

Total net value of aforesaid bids is PLN  50.232.339,47 PLN, which is PLN 61,785,777.55 gross.

Information on the conclusion of the contract with Polskie Górnictwo Naftowe i Gazownictwo S.A. for aforesaid parts of the order will be provided by the Company in the next current report.

Specific legal basis: Art. 56 clause 1 item 1 of the Act of July 29, 2005 on public offering and conditions for marketing financial instruments in an organized trading system and public companies (Journal of Laws No. 184 item 1539 as amended)

SIGNATURES OF PERSONS REPRESENTING THE COMPANY:
Management Board President, General Director Marek Mazurek 2011-11-21
Management Board Vice President, Commercial Director Jacek Podwiński 2011-11-21

INFORMATION ON THE ENTITY:
Full name of the issuer: IZOSTAL SPÓŁKA AKCYJNA
Abbreviated name of the issuer:  IZOSTAL S.A
Sector based on the classification of Warsaw Stock Exchange:  Other industry
Address: 47-120 Zawadzkie Polna 3
Telephone: (77) 405 65 00            
Fax: (77) 405 65 01
e-mail:info@izostal.com.pl
www.izostal.com.pl
VAT No. [NIP]:756-00-10-641
Statistical No. [REGON]: 530884678