Grupa LOTOS S.A. - Annual Report 2010

Impact of the 10+ Programme on the Company’s environment

The capital expenditure programme dubbed 10+ Programme made a major indirect impact on the Company’s immediate environment. The aspects of that impact are presented in the chart below:

Implementing and endorsing European safety standards

Seeking to ensure a high level of safety during the implementation of the 10+ Programme, the Company had a clause on cooperation in and coordination of the overall HSE activity incorporated in the agreement with the Project Managing Contractor (PMC).

HSE procedures and instructions

Considering the scale of the 10+ Programme, a number of procedures and instructions for contractors were developed in order to facilitate the monitoring of the HSE performance (HSE plans). The purpose of doing so was to compile a set of guidelines and recommendations on the health, safety and environmental protection management during large-scale capex projects such as the 10+ Programme. The documents were attached as schedules to agreements and contracts signed with contractors.

HSE best practices

Multiple brochures were produced in order to more effectively promote the issues concerning health, safety and environmental protection at the workplace. All general contractors were provided with the brochures and the subcontractors were placed under an obligation to read them.

Safety boards

Adequate monitoring and assessment tools were called for to help build a positive safety culture during the 10+ Programme implementation. To spur healthy competition among contractors, special safety boards were placed at the construction sites.

HSE site inspections

To monitor the construction site for health, safety and environmental protection performance, the Company and the PMC, jointly with the site managers, the contractor’s HSE team and the construction site inspectors, carried out weekly HSE inspections. Each time, a post-inspection report was prepared by Grupa LOTOS and sent to the contractor concerned. If any corrective actions were required, the contractor was expected to deliver a report on the corrective measures performed.

HSE reviews

In line with the procedures developed for the 10+ Programme, the Company and the PMC performed a series of HSE reviews at key contractors. This was done to assess the progress of implementation by contractors and subcontractors of the HSE guidelines and recommendations set forth in the documents prepared for the purposes of the 10+ Programme and of the overall implementation of HSE measures at the construction sites.

Monthly HSE coordination meetings

In order to promote cooperation between the project owner and the contractors, Grupa LOTOS and the PMC held meetings with the personnel responsible for ensuring and monitoring the health, safety and environmental protection performance. During the meetings, the contractors reported on the progress of work aimed at improving the HSE standards, and recapitulation of the past month and action plans for the coming month were made, whose major purpose was to increase the overall safety level.

Creating new jobs at Grupa LOTOS and in its sphere of influence

New projects entail new jobs. To fulfil the staffing needs arising in connection with the launch of technological units built as part of the 10+ Programme, Grupa LOTOS hired and trained 120 new personnel, including 30 persons with an engineering degree. In addition, 3,450 external workers were engaged to work on the construction sites for the 10+ Programme.

Facilitating CAPEX projects and business development of contractors, subcontractors and suppliers

As at the end of 2010, the total amount paid by Grupa LOTOS to contractors under contracts for the engineering, procurement and construction works under the 10+ Programme reached PLN 5.5bn.

It should be noted that 41% of the expenditure incurred by Grupa LOTOS to contract services under the 10+ Programme was spent on the domestic market, of which PLN 0.51bn (26%) was paid to contractors from the Gdańsk region, and PLN 1.66bn (74%) – to contractors from the rest of the country.

Cooperation with leading international companies and technology transfer

The technology solutions implemented as part of the 10+ Programme were selected from among the most advanced and most efficient ones. The technology providers included global leaders: Shell Global Solutions, Kellogg Brown and Root, Lurgi GmbH, and Chevron Lummus Global. Under the offset arrangements with the Polish government related to the purchase of the F-16 fighter aircraft, the US-based company Lockheed Martin helped finance the technology transfer and provided support for the entire Programme. The world’s leading industrial engineering firms, boasting proven track-records in the provision of engineering and project management services for large refining and chemical projects, were contracted for the 10+ Programme: Technip (Italy), ABB Lummus Global (Germany), Lurgi (Germany/Poland), Fluor (Netherlands/Poland). A major contribution towards the implementation of individual projects, particularly in the area of assembly and construction, was made by contractors from the Gdańsk region and construction companies from all over Poland.

Enhancing the state’s energy security and diversifying the supply sources by ensuring an uninterrupted supply of energy carriers

The new technical ability of the Gdańsk refinery to process various types of crude oil, as well as own hydrocarbon reserves and close vicinity of freight-handling marine terminals add to energy security and promote diversification of the supply sources.

CSR initiatives

The LOTOS Group’s CSR activity is focused on projects and initiatives matching the corporate mission, growth strategy and values embodied in the LOTOS brand, which are designed to benefit customers and local communities. The Company seeks to align its business and CSR objectives. Two key priority areas for action have been identified:

• environmental protection and wildlife conservation – with a particular focus placed on the preservation of natural systems of the Baltic Sea,
• people and their environment – which involves providing support to public healthcare institutions, the disabled, and the initiatives promoting science and education, sports, and physical education among the young generation.

Environmental projects

In line with its CSR strategy, the LOTOS Group is engaged in pro-environmental work, understood as any activity that helps preserve the structure or function of a natural ecosystem. As part of its environmental commitment, the Company initiates or supports projects aimed at increasing environmental awareness and encouraging pro-environmental behaviours.

Cooperation with the Foundation for the Development of the University of Gdańsk

In 2009, Grupa LOTOS forged partnership with the Foundation for the Development of the University of Gdańsk and the Hel Marine Station of the University’s Institute of Oceanography. Joint efforts were undertaken to prevent the extinction of the endangered marine species, notably the harbour porpoise, also known in Poland as the Baltic Sea dolphin. Apart from these efforts, the partnership paved the way for further projects which aim to promote knowledge on the Baltic Sea biodiversity and provide information on how the endangered species may be protected. Furthermore, the Company financed the purchase of specialist equipment which helps prevent the accidental by-catch of porpoises. A project called “Active protection of the porpoise against by-catch” is implemented in the Puck Bay area. Grupa LOTOS made a cash donation to fund diverse environmental measures, including the protection of the harbour porpoise, which was expended to purchase hydroacoustic detectors and pots for fishing.

As part of joint efforts to protect the ecosystems of the Baltic Sea, the Company, for another consecutive year, co-organised the Porpoise Day, an event held to educate the public on the behaviour and protection of that particular species. Cooperation with the Company’s partners also resulted in the project “Learn about and protect biodiversity of the Baltic Sea”, which aimed to increase awareness about natural resources conservation and to address the issues concerning marine mammals living in the Baltic Sea. In 2010, a competition was held among 53 junior high school students to test their knowledge on the biodiversity of the Baltic Sea and its protection. Also, an awareness campaign titled “Wildlife in the water under the keel” was run, promoting protection of the Natura 2000 areas and encouraging the public to get involved in the conservation planning process. The campaign was conducted onboard vessels operated by Żegluga Gdańska between May 1 and August 31 2010. 75,000 leaflets were handed out and ten education boards were installed. To complement these efforts, advertising hoardings were displayed in Gdańsk, Gdynia, Sopot and the Hel Peninsula, promoting the conservation of habitats in the Natura 2000 designated areas.

Grupa LOTOS’ cooperation with the Foundation for the Development of the University of Gdańsk and the Hel Marine Station of the University’s Institute of Oceanography was recognised by the participants of the CSR Best Practices Trade Fair organised by the Responsible Business Forum and held on the premises of the Warsaw University Library in Autumn 2010. The Company’s biodiversity protection projects won second place among 28 corporations and NGOs participating in the fair.

Clean Up the Baltic Sea, Clean Up the World

As part of the international Clean Up the Baltic Sea and Clean Up the World campaigns, the Company launched the project “Let’s clean up the Baltic Sea! Let’s clean up the world!”, targeted at students from primary and secondary schools in Gdańsk, Gdynia and Sopot. Its purpose was to develop the sense of responsibility for the environment, particularly the Baltic Sea, including the responsibility for keeping it clean. The event was located on the Sobieszewska Island, which is in close proximity to the Company’s premises and which has considerable environmental value. The students cleaned up a stretch of woods and beach and then joined in a special educational and entertainment event focused around environmental themes. Some 300 children from ten preschools and primary schools participated in the project, and around 60 sixty-litre garbage bags were filled.

Cooperation with the foundation Agency of Regional Air Quality Monitoring

As the Company’s business encompasses the chemicals sector, we feel particularly responsible for the environment. Apart from running education campaigns, we cooperate with environmental organisations, including the foundation Agency of Regional Air Quality Monitoring (ARMAAG). In 2010, Grupa LOTOS provided financial assistance to the foundation to facilitate the extension of the SoundPlan IT system and upgrade of the AM2 monitoring station in Gdańsk Kaczeńce. The purpose of these efforts was to develop, maintain and improve the regional monitoring system in the Gdańsk agglomeration and in Tczew, which is a step towards achieving the ultimate goal – building a modern air quality information system and tools for assessing the impact of emitters on the air quality.

Community projects

LOTOS Safety Academy

The LOTOS Safety Academy (Akademia Bezpieczeństwa LOTOS) programme comprises a number of initiatives aimed to prevent road traffic accidents involving young children, this being achieved through traffic safety educational projects promoting the rules of safe behaviour on the road among children and adults. The following projects were implemented in 2010 as part of the programme:

• LOTOS – Safe Journey to School (LOTOS – Bezpieczna droga do szkoły),
• Free Reflectors (Uwolnić odblaski) art competition (promoting the reflective clothing and accessories)
• Auto Rally and Traffic Safety Picnic in Sopot,
• Communication efforts targeted at the employees.

The LOTOS Safety Academy projects are aimed at members of the general public (mainly children and young people) and at the LOTOS Group’s employees.

LOTOS – Safe Way to School (LOTOS - Bezpieczna droga do szkoły) is an education and accident prevention programme run jointly with the Polish Police and road safety experts, designed to prevent traffic accidents involving schoolchildren. Targeted principally at first graders, the programme seeks to encourage students to pay attention to road safety issues, and to teach them safe traffic behaviour. The low level of traffic safety, particularly among pedestrians, is a widespread social problem in Poland. The programme offers an opportunity to participate in educational meetings with police officers and road safety experts to learn about traffic safety rules and safe places to play. All participants are presented with reflective accessories and road safety educational materials funded by the Company.

The programme is implemented in the areas of operation of selected LOTOS Group subsidiaries: in the Province of Gdańsk and in the counties lying within the sphere of influence of LOTOS Czechowice and LOTOS Jasło. The LOTOS - Safe Way to School initiatives have been implemented in the Gdańsk region, Jasło and Czechowice since 2001, 1998 and 2004, respectively.

Over the past five years, the Company has funded some 61 thousand reflective accessories and 38 thousand educational packages (13 thousand items of each type in 2010 alone).

Free Reflectors (Uwolnić Odblaski) competition forms an integral part of the LOTOS Safety Academy programme and is devised for first-grade students from the Province of Gdańsk and the counties of Jasło and Bielsko-Biała, particularly those participating in the LOTOS – Safe Way to School project. Its overall aim is to warn children about road traffic dangers and to help them develop a habit of wearing reflective accessories which reduce the likelihood of accidents.

In 2010, the value of the LOTOS Safety Academy programme was recognised by the Home&Market; magazine which awarded Grupa LOTOS the title of the Best Partner in Business in the Corporate Social Responsibility category and strongly emphasised the Company’s commitment to road traffic safety.

LOTOS Safety Academy was also shortlisted for inclusion in the 2010 Best Practices Report compiled by the Responsible Business Forum. The report serves to honour corporate practices which offer an innovative approach to a problem and at the same time bring tangible benefits to the organisation, thus creating added value for the organisation itself or for its local communities.

Good Neighbour programme

The Good Neighbour (Dobry Sąsiad) programme was launched in 2006. It is implemented in the city of Gdańsk, the Company’s immediate sphere of influence. Its overall objective is to raise environmental awareness and promote eco-friendly behaviour among young children. This overall objective is achieved through:

• involvement in the life of local communities (i.e. organising family events, sporting events, etc.),
• involvement in the environmental projects run in the refinery’s immediate vicinity, notably the Sobieszewska Island,
• offering support to selected local government projects which seek to improve the quality of life of inhabitants in the districts covered by the programme,
• developing the local inhabitants’ understanding of the refinery’s operation and assuring them that it has state-of-the-art environmental security controls,
• tackling social inequalities by providing support to public benefit institutions and organisations, especially those helping children,
• involvement in long-standing initiatives aimed at inhabitants of Grupa LOTOS’ neighbouring districts, with a particular focus on children (construction of playgrounds and sports fields, and park revitalisation work).

In pursuit of the programme’s objective, Grupa LOTOS, in cooperation with the Ornithology Station of the Museum and Institute of Zoology (MILZ) of the Polish Academy of Sciences, the Kuling Waterbird Research Group, and the Association of Sobieszewska Island Lovers, devised and implemented the “Protect the Wildlife of the Sobieszewska Island” programme. The following efforts were undertaken as part of the programme:

• proper infrastructure was built to minimise threats to the Mewia Łacha bird reserve: a three-kilometre eco-route was laid out. The final section is delineated by a rope fence, with 16 information boards installed alongside.
• awareness and education campaign was run: the campaign was devised for local inhabitants and tourists to show them the extraordinary natural charm of the Sobieszewska Island; twelve information boards, featuring the flora and fauna of the island, were installed and 2,000 copies of the Echa Wyspy periodical were printed, presenting natural wonders of the Sobieszewska Island,
• education campaign for children was run: educational lectures were delivered, which were attended by 1,048 primary and junior high school students from Gdańsk and the Pruszcz Gdański commune, and the brochure Reedbed birds was prepared as a teaching aid used during the campaign, of which 13,000 copies were printed and distributed among participants.

Other community projects

As part of its social commitment, Grupa LOTOS supports projects which cater for the needs and expectations of its local communities. Particular importance is attached to initiatives aiming to bridge social gaps among children and provide help to those placed in children’s homes or raised in poor or dysfunctional families. In 2010, the Company was again engaged in the preparation of the Children’s Day festivities, held at the Gdańsk-Oliwa zoo, and St. Nicholas gift-giving events in Gdańsk, Jasło and Czechowice-Dziedzice.

To deliver on its corporate social responsibility policy objectives, Grupa LOTOS supports initiatives which aim to ensure equal opportunities for the disabled. In 2010, Grupa LOTOS was a partner in the following projects:

• III Międzynarodowe Spotkania Artystyczne (3rd International Art Fairs), organised by Centrum Spotkań Europejskich Światowid in Elbląg,
• Muzyka pamięcią serca (Music as Memory of the Heart) concert for the disabled, organised by the Nuta Nadziei foundation in Smętowo Graniczne.

Grupa LOTOS also supports fundraising initiatives for people in need. In 2010, the Company provided assistance to the following projects:

• XIV Aukcja Rotariańska (14th Rotary Auction) Rotary International, organised by Elbląski Klub Rotary,
• Pomóż sobie i Innym (Help yourself, help others) charity concert, organised by the Gdańsk branch of the Polish Red Cross,
• XVIII Uroczysty Wieczór Koncertowy (18th Ceremonial Concert Night), organised by Stowarzyszenie Lion Club Neptun,
• Charytatywny Koncert Świąteczny (Holiday Charity Concert), organised by Gdańska Fundacja Innowacji Społecznych in Gdańsk,
• charity auction held during the Charity Ball organised by Sopot Rotary International Club
• Zeszyt dla ucznia (Notebook for a Student) fair, organised by Centrum Wspomagania Organizacji Pozarządowych in Gdańsk,
• Planeta Marzeń (Wonder Planet) fair for children, organised by the social welfare centre Miejski Ośrodek Pomocy Społecznej in Gdańsk.

The community projects run by Grupa LOTOS gain wide recognition. In 2010, the Company was among the nominees to the Firma Dobrze Widziana (Well-Perceived Company) award. The winner will be announced at a gala to be held in Spring 2011 in Warsaw. The competition is administered by Business Centre Club as part of the Human Capital Operational Programme, which promotes education campaigns and research into corporate social responsibility and supports the implementation of CSR-compliant management techniques at Polish companies. The judging criteria include CSR performance, and the quality of work environment, market communications, environmental efforts and CSR reporting.

For a number of years now, the Company has been involved in important cultural events arranged in the areas of the LOTOS Group’s operation and beyond. In 2010, Grupa LOTOS co-organised the following cultural and social events:

• II Festiwal Solidarity of Arts (2nd Solidarity of Arts Festival),
• Światowy Zjazd Gdańszczan (World Gdańsk Reunion),
• Miesiąc Heweliusza (Johannes Hevelius Month),
• Święto ulicy Bohaterów Monte Cassino (Bohaterów Monte Cassino Street Celebrations),
• Festiwal Polskich Filmów Fabularnych (Polish Feature Film Festival),
• Cuda Wianki – Lato zaczyna się w Gdyni (an event marking the beginning of summer)
• Bieszczadzkie Spotkania ze Sztuką “Rozsypaniec” (the Rozsypaniec Bieszczady Encounters with Art),
• XXVIII Międzynarodowe Obchody Święta Kultury Łemkowskiej “Łemkowska Watra” (28th International Lemkos Culture Celebration),
• LOTOS Jazz Festival – Bielska Zadymka Jazzowa

LOTOS for sports

The Company regards its CSR sporting initiatives, designed to promote sporting development of young athletes and develop sports talent that will later join local clubs or the national team, as an element of its CSR efforts reflecting its responsibility for the environment in which it operates. Education through sports is also a way to counteract incipient social pathologies, properly spend leisure time and educate young people in the spirit of healthy competition and fair play.

Sporting education

Grupa LOTOS together with its Partner – the Polish Ski Federation – is running one of the widest-ranging projects in the area of sporting education – “LOTOS Cup – Looking for the Champion’s Successors”, organised under the National Programme for the Development of Ski Jumping. The project came into being in 2004 and for the five subsequent seasons has been a huge organisational and sporting success, attracting considerable media attention and becoming one of the leading CSR sporting projects in Poland. The cornerstones of the initiative are to promote, on an unprecedented scale, ski jumping among kids and teenagers and discover the finest ski-jumping talent.

The key objective behind the programme was to launch a system designed to actively support young athletes training at ski-jumping clubs which run their own youth sections. In the years 2004-2010, 185 pairs of skis complete with binding, 161 suits, 100 helmets and 150 ski-jumping boots were purchased for the most talented young ski jumpers from 19 clubs all over Poland. By donating a total of 596 sets of professional sports equipment, the programme made it possible to provide training to the youngest age groups. In this way Grupa LOTOS launched the largest CSR project aimed to support talented ski jumpers from Polish clubs. In addition, sports scholarships were awarded to 72 ski jumpers from the age groups 11-12 and 15-16 who finished in the top six places in the general classification of the LOTOS Cup tournament in the 2004-2010 seasons.

In each of the 48 LOTOS Cup youth competitions, held between 2005 and 2010 to the World Cup format on the ski jumps in Szczyrk, Wisła, Zagórz and Zakopane, the number of competitors was 170. Three years from its inception, the first athlete trained under the “Looking for the Champion’s Successors” programme was called up to the national senior team. Maciej Kot from the Start Krokiew club of Zakopane took part in the team event of the FIS World Cup held in Finnish Lahti (March 2007) and thus one of the main objectives behind the initiative – to discover the finest Polish ski-jumping talent who could represent Poland at the world’s most famous jump sites – was accomplished. Also Kamil Stoch, who has been improving his performance from season to season and who in 2011 for the first time won one of the World Cup events (held in Zakopane), has been trained under the programme.

In the 2007/2008 season, a Nordic combined youth team was selected from the wide group of talented ski jumpers – beneficiaries of the “Looking for the Champion’s Successors” programme. The coaches were assigned the mission to restore Nordic combined in Poland. In the 2010-2011 season, the programme’s beneficiaries formed the core of the Nordic combined youth team. Taking into account the goal set by the Polish Ski Federation, as well as the results of training to date, a decision was made that in 2010/2011 the scope of the “Looking for the Champion’s Successors” project would be expanded to include three LOTOS Cup Nordic combined competitions, which would be run on the facilities in Szczyrk, Wisła and Zakopane among all the age groups covered by the programme, including open senior and A junior categories.

Another field of the Company’s activity connected with the support of young sportspeople is our cooperation with two youth groups training with the Lechia Gdańsk football club, on the basis of which an indoor football tournament for youthful players is held under the name of “Golden Gdańsk Lions”. The latest event attracted 78 teams of teenagers born between 1995-2000 from all around Poland, including a total of 1,073 young players. Junior GDAŃSK 2012 is a scheme operated by the Social Committee of Euro 2012 Support.

As part of its work on the Social Committee of Euro 2012 Support established by the Mayor of the City of Gdańsk, of which the Company’s President is member and President of the Council of Sponsors, Grupa LOTOS has sponsored a project involving the construction of football pitches with artificial turf to be located within school grounds. The project is being implemented under the Junior Gdańsk 2012 scheme, whose objective is to build a network of football pitches within the grounds of various Gdańsk schools, with the financial support of enterprises active in the region of Pomerania. Grupa LOTOS, as the only company, has sponsored the construction of two pitches – in 2010 the first project was completed at the Primary School No. 61 in Gdańsk, while the other project has been commenced at the Junior High School No. 20 in Gdańsk.

In 2010, our financial support was extended to junior ice-hockey teams. As part of that cooperation, in December 2010 an international ice-hockey tournament was played with teams coming over from Russia, Belarus and Poland, and at the beginning of 2011, the team of sub juniors supported by Grupa LOTOS won the gold medal at the Polish Youth Winter Olympic Games in Krynica Zdrój.

In the area of motorsports, like in the case of other disciplines supported by Grupa LOTOS, the Company helps a group of beginners at motorcycle speedway. In 2010, an agreement was concluded with the Wybrzeże Gdańsk Speedway Club Association, which trains a new generation of racers with the utmost diligence and dedication to making the sport more popular with kids and teenagers. The aim of the Speedway Youth School is to develop young racers to join the first team of the club of GKS Wybrzeże S.A., the owner of the LOTOS Wybrzeże Gdańsk team.

In the very first months after the School was opened, representatives of LOTOS Wybrzeże managed to score above-average successes, as the title of Poland’s individual speedway champion went to a thirteen year old from Gdańsk.

In the previous season, the LOTOS Wybrzeże Gdańsk team also won golden “circles” of Poland Minispeedway Club Pairs Cup. Grupa LOTOS has supported training of young motorcycle racers since 2006. In previous years, the School was run by the Foundation, chaired by prominent sportsman Zenon Plech. The greatest success achieved in the period 2006-2009 was the title of Poland’s individual speedway champion won by one of the School’s pupils.

The quality of the Company’s efforts aimed to promote sporting education of young people is confirmed by a Sport & Business Statuette in the “Youth Sport Programme” category of the DEMES 2010 Sport & Business Awards in recognition of the National Programme for the Development of Ski Jumping “Looking the Champion’s Successors”, run jointly with the Polish Ski Federation. Successes of future sportsmen depend largely on the professional development of children, which is why it is so important to encourage them to spend their leisure actively. As part of the programme, a professionally organised cyclical LOTOS Cup competition is held, allowing ski-jumping beginners to compete with their peers, while promoting education through sports and objectively enforcing the rules of competition and fair play.

Sporting sponsorship

Grupa LOTOS has a strategic, long-term approach to its sponsorship of sports. Its activity focuses on team sports, which have greatly gained in popularity in recent years on the back of international successes, as well as motorsports and winter sports.

Basketball and volleyball

For over 12 years, Grupa LOTOS has been the titular sponsor of women’s basketball team LOTOS Gdynia, which holds 11 Poland’s Championships, five Poland Cups (2005, 2007, 2008, 2010, 2011) and one Poland Super Cup. It has also been the team vice-champion of the World League, vice-champion of the Euroleague (in 2002 and 2004), and has played in the Euroleague continuously since 1998.

Additionally, Grupa LOTOS supports two men’s volleyball teams: LOTOS TREFL Gdańsk (since 2009) and TREFL Sopot (since 2010).

Skiing

For six years now, the Company has been Poland’s General Skiing Sponsor. Under the cooperative arrangement with the Polish Ski Federation, it supports ski jumpers from the A and youth teams, cross country skiers from the A and youth teams, as well as the Nordic combined team. As the General Sponsor, Grupa LOTOS also supports Justyna Kowalczyk (winner of three Olympic Games medals from Turin (2006) and Vancouver (2010), a double World Champion from Liberec (2009), winner of two World Championship medals in Oslo (2011) and a World Champion and World Cup winner in the 2008/2009 and 2009/2010 seasons), as well as Adam Małysz (winner of Olympic Games medals from Salt Lake City (2002) and Vancouver (2010), four individual World Championships, four World Cup titles and three Summer Grand Prix wins and winner of a World Championship medal in Oslo (2011).

Motorsports

In addition to the LOTOS Baltic Cup Rally sponsored by Grupa LOTOS for six years and Poland’s Mountain Rally Championships, 2010 saw the involvement of product companies LOTOS Paliwa and LOTOS Oil in cyclical rally events. The companies cooperated with two teams: the team comprised of Kajetan Kajetanowicz and Jarek Baran, which won Poland’s championship title in the general ranking of Poland’s Rally Championship 2010, and the Dynamic World Rally Team (Michał Kościuszko and Maciej Szczepaniak), which ranked fifth in the SWRC World Championship.

For a few years, Grupa LOTOS has supported speedway racers from Gdańsk, and for two seasons has acted as Titular Sponsor of the LOTOS Wybrzeże team, which competes in the First Speedway League. The team includes both Poles and foreigners and will compete for entry into the Speedway Extraleague in the 2011 season.