Statement I: The freezing of water is an exothermic process
Because
Statement II: Energy is released when covalent bonds are formed
Freezing is a process of liquid changing its state to solid. In this process, the water releases heat to the surroundings, so it is an exothermic process.
When water lose energy, the individual molecules move slower (decreased kinetic energy). Eventually the water molecules will become locked in place (freeze) as they maximize the number of hydrogen bonds they form with other water molecules.