Integrated ESG Report 2021
Explanatory notes

Explanatory notes

1. General information

1.1 Key information about the PGNiG Group and basis of preparation of the financial statements

1.1.1 The Group

1.1.2 Basis of preparation

1.2 Effect of new standards on the financial statements of the PGNiG Group

1.2.1 New and amended standards and interpretations

2. Description of the Group and its reportable segments

2.1 Key information on the Group and its reportable segments

2.2 Key data on the reportable segments

2.3 Revenue by segment

2.4 Equity-accounted investees

2.4.1 Significant restrictions on the ability to transfer funds to the Group from interests in joint ventures

3. Notes to the statement of profit or loss

3.1.1 Revenue from contracts with customers

3.1.1.1 Revenue by product and geographical location

3.1.1.2 Revenue from contracts with customers under IFRS 15 by type of customer

3.1.1.3 Revenue from contracts with customers under IFRS 15, by time of recognition

3.2 Operating expenses

3.3 Other income and expenses

3.4 Net finance costs

3.5 Earnings per share

4. Notes on taxation

4.1.1 Income tax expense disclosed in the statement of profit or loss

4.1.2 Deferred tax expense

5. Notes to the statement of cash flows and information on debt

5.1. Debt reconciliation

5.2. Financing liabilities

5.3 Equity, dividends and capital management policies

5.3.1 Shareholding structure

5.3.2 Dividend paid and proposed

5.4 Cash and cash equivalents

5.5 Additional information on consolidated statement of cash flows

5.5.1 Reconciliation of movements in working capital with the statement of cash flows

5.5.2 Other non-cash adjustments to the statement of cash flows

5.5.3 Change in exchange differences and impairment losses on cash and cash equivalents

6. Notes to the statement of financial position

6. Notes to the statement of financial position

6.1 Non-current property, plant and equipment and intangible assets

6.1.1 Property, plant and equipment and related provisions

6.1.2 Intangible assets

6.1.3 Impairment of non-financial assets

6.2 Working capital

6.2.1 Inventories

6.2.2 Receivables

6.2.3 Trade and tax payables

6.3 Provisions and liabilities

6.3.1 Employee benefit obligations

6.3.2 Provision for well decommissioning, restoration and environmental remediation costs

6.3.3 Other provisions

6.3.5 Other liabilities

7. Notes on financial instruments and financial risk management

7. Notes on financial instruments and financial risk management

7.1 Financial instruments

7.1.1 Key financial assets by category

7.1.2 Key financial liabilities by category

7.1.3 Items of income and expenses related to financial assets and liabilities

7.2 Derivative financial instruments

7.3 Financial risk management policies

7.3.1 Credit risk

7.3.1.1 Credit risk related to cash and cash equivalents

7.3.1.2 Credit risk related to receivables

7.3.1.3 Credit risk related to derivative transactions

7.3.2 Market risk

7.3.2.1 Commodity price risk

7.3.2.2 Currency risk

7.3.2.3 Interest rate risk

7.3.3 Liquidity risk

Other notes

8.1 Assets held for sale

8.2 Other assets

8.3 Contingent assets and liabilities

8.4 Related-party transactions

8.4.1 Transactions with entities in which PGNiG or its subsidiary holds equity interests

8.4.2 Transactions with entities in which the State Treasury holds equity interests

8.4.3 Benefits received by the Group’s key personnel

8.4.4 Loans granted to the management and supervisory personnel of the Group companies

8.5 Joint operations

8.6 Changes in the structure of the Group in the reporting period

8.6.1 Acquisition of INEOS E&P Norge AS (IFRS 3)

8.6.2 Other changes in the structure of the Group in the reporting period

8.7 Other relevant information

8.7.1 Auditor fees

8.8 Events after the reporting date