Poland-based coking coal producer Jastrzębska Spółka Węglowa (JSW) has announced that it signed a loan agreement worth up to PLN 1.06 billion ($289.2 million) with the Polish Industrial Development Agency (ARP) on November 9, 2026, to support its operations and restructuring program.
According to the company's statement, the financing will initially be used to settle a PLN 400 million ($108.5 million) advance payment, together with accrued interest, received under the preliminary agreement dated March 9 for the sale of shares in Jastrzębskie Zakłady Remontowe and Przedsiębiorstwo Budowy Szybów. The remaining funds will be allocated to financing JSW's operations during the implementation of its restructuring program and measures aimed at reducing operating expenses and optimizing the group's activities. Following the repayment of the advance payments, the preliminary share purchase agreement with ARP will automatically terminate.
The loan will be disbursed in tranches, subject to several conditions, including approval from JSW's existing lending consortium, the establishment of collateral and the submission of cost-reduction plans and reports on implemented corrective measures. The agreement will remain in effect until June 30, 2038, with quarterly principal repayments beginning after a grace period ending on June 30, 2029. Interest will be paid quarterly without a grace period, at a rate based on the three-month Warsaw Interbank Offered Rate plus a margin.
The loan will be secured by assets including JSW's mining properties, movable assets, shares in JSW KOKS and other companies, as well as receivables from coal, coke and hydrocarbon sales. The agreement also introduces a mechanism under which, starting in 2032, financial surpluses exceeding PLN 300 million ($81.4 million) will be allocated between JSW and ARP, with 30 percent directed toward loan principal repayment.
