Press releases pg. 50

After a thorough assessment of the lithium mining project at Cínovec, ČEZ is advancing to the project’s second stage. The second stage does not involve mining but verifying the production process under pilot plant conditions and pilot test lines. This procedure is standard in any potential ordinary mining activities. Steps to obtain other necessary permits may also be taken. This second testing stage may continue until 2023. ČEZ and Severočeské doly a.s. have therefore agreed to a contractual amendment with EMH and its subsidiary, Geomet, which holds preferential exploration and exploitation rights. The amendment will be subject to approval by the General Meeting of EMH shareholders.

Today, ČEZ filed for permission with the State Office for Nuclear Safety to build new nuclear power blocks at Dukovany. This concluded its five-year preparations, being now ready for the licensing process in accordance with the Atomic Energy Act.

The CEZ Group’s earnings before interest, taxes, depreciation, and amortization (EBITDA) was CZK 60.2 billion, up 21% year-on-year. Net income increased by 38% to CZK 14.5 billion. The increase is mainly due to the rise in selling prices of the electricity generated in the Czech Republic thanks to the multi-year presales in the wholesale markets in Germany and also higher profit from commodities’ trading, which at end of year contributed to the significantly higher than expected profit of the ČEZ Group. Net income adjusted for extraordinary effects was CZK 18.9 billion.

GE Hitachi Nuclear Energy (GEH) and ČEZ, a. s., an integrated electricity conglomerate, have entered into a Memorandum of Understanding through which the companies have agreed to examine the economic and technical feasibility of potentially constructing a BWRX-300 in the Czech Republic.