PARAMO, a.s. ("Paramo"), 88,03% subsidiary of UNIPETROL, a.s., has signed another agreement on diesel supplies to České dráhy ("CD"). The contract, worth approximately CZK 8 bn, provides for regular diesel deliveries for the next three years. Under the agreement, Paramo will supply 52 operating units of ČD, to which it will deliver approximately 290 million litres of diesel over three years.

Paramo has been supplying České dráhy since as early as 2003. It will produce a part of the diesel in its own refinery in Pardubice, while the Litvínov and Kralupy refineries will produce the rest. It won the contract in a public tendering process, in which also Čepro, a.s. and Slovnaft, a.s. participated.

"In the tendering process we were able to capitalise on our experience as a supplier of long standing, and our knowledge of the issues of storage and logistics in CD's operating units. Also our ability to bring supplies from multiple sources has been key in our success," says Vojtěch Marek, head of the fuels department at Paramo.

CD is a key account for Paramo not only in respect of diesel but also in lubricants. Paramo's major clients also include OMV fuel filling stations, SSŽ (Road construction company), and municipal transport companies in Pardubice and Hradec Králové. "Our business policy is geared towards winning end customers and shortening the distribution network," notes Vojtěch Marek.

In Prague, on 18 July 2008

UNIPETROL, a.s.

Reg. Announc. No. 017/2008