Poland's top oil company on Tuesday set in motion plans to merge the country's four top energy companies into an entity with enough clout to compete in the international arena.
"The merger of leading Polish companies will create an entity with diversified revenues, a large raw material base, modern processing, clean energy and integrated detail," Daniel Obiatek, chief executive of PKN ORLEN said in a tweet to announce the move.
"We will be able to invest in large projects related to energy transformation," the head of Poland's biggest refiner added.
Earlier in the day, PKN ORLEN received European Commission approval to acquire smaller Polish refiner Lotos in addition to a previous takeover of the utility company Energa.
The group also plans to buy PGNiG, the largest gas company in Poland.
Polish Prime Minister Mateusz Morawiecki called the planned merger "a bold development" that would build "a champion, not only in Poland, but on a European scale with ambitions extending to other markets".
With fallout of the coronavirus pandemic sending Poland into its first recession since the collapse of communism, Morawiecki estimated the merged group could generate substantial profits.
"With good management, it will be able to generate... profit before interest, tax and depreciation of... up to 20 billion zloty" (4.5 billion euros, $5.1 billion) annually, the premier said.
He spoke during a joint press conference with Obiatek in Warsaw.
Poland still depends on coal for around 80 percent of its electricity, and Morawiecki's government has rejected the EU's 2050 zero emissions goal, saying it could cripple the economy.
A former energy minister has said Poland would have to spend up to 900 billion euros to achieve net zero emissions.
Warsaw thus wants Brussels to fund a "fair" transition to carbon neutrality for the country of 38 million people.