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PJSC CZP: Correction: Half-year Report


For Immediate Release – August 29, 2017

Chelyabinsk Zinc Plant Announces H1 2017 Consolidated Financial Results

Chelyabinsk, Russia – August 29, 2017 – Chelyabinsk Zinc Plant (LSE,
MICEX-RTS: CHZN), Russia's largest producer of zinc and zinc alloys, is
pleased to announce its IFRS financial results for the six months ended June
30, 2017.

Chelyabinsk Zinc Plant’s (CZP) revenue totalled RUB 18,090 mln. 
EBITDA amounted to RUB 4,356 mln or 24% of revenue.
Net profit was RUB 2,975 mln or 16% of revenue.

Consolidated financial results

 (in millions of Russian Roubles)  H1  2017  H1  201 6  Change, %  
 Revenue                            18,090     12,531      44%     
 Gross profit                        4,826     3,649       32%     
                   Gross margin, %       27%        29%            
 EBITDA (1)                          4,356     2,792       56%     
                  EBITDA margin, %       24%        22%            
 Profit before income tax            3,770     2,295       64%     
 Net profit                          2,975     1,855       60%     
                     Net margin, %       16%        15%            

(1) EBITDA, for any relevant period, represents operating profit before
interest, income tax, depreciation and amortization.

EBITDA is not a measurement of CZP's operating performance presented in the
financial information, prepared in accordance with IFRS, and should not be
considered as an alternative to operating profit or any other performance
measure derived in accordance with IFRS or other relevant financial framework.


H1 2017 consolidated revenue increased by 44% to RUB 18,090 mln as compared to
H1 2016.

The average LME zinc price in H1 2017 increased by 50% as compared to the
relevant period of the previous year and amounted to US$ 2,690 / tonne. The
average LME lead quotes increased by 28% to US$ 2,221 / tonne. The growth of
zinc sales volume and  increase of average LME zinc quotations had a positive
effect on the proceeds from the sale of zinc. The increase of other revenue 
was the result of by-products sales growth.

Revenue structure

In H1 2017, revenue of CZP increased by 50% as compared to the H1 2016 and
amounted to RUB 13,811 mln (H1 2016: RUB 9,233 mln). The increase of revenue 
was due to  growth of zinc sales volume and increase of average LME zinc

Revenue of the Brock Metal Company Limited for H1 2017 amounted to RUB 3,885
mln, 31% higher than for H1 2016 (RUB 2,957  mln).

Revenue of Nova Zinc for lead concentrate sales in H1 2017 increased by 16%
compared to H1 2016 and amounted to RUB 394 mln (H1 2016: RUB 340 mln). The
increase was due to growth of lead concentrate  sales volume and increase of
average LME lead quotations.

Net profit

Net profit for H1 2017 totalled RUB 2,975 mln comparing to RUB 1,855 mln for
H1 2016. The main factors of net income increase were zinc and zinc alloys
domestic sales volume increase and the growth of average LME zinc quotations.

About Chelyabinsk Zinc Plant

Chelyabinsk Zinc Plant is the leading Russian zinc producer. In 2016 the plant
produced 174,803 tonnes of salable SHG zinc.

According to consolidated IFRS accounts, revenue in 2016 was RUB 30,347 mln
and EBITDA was RUB 6,964 mln.

CZP ordinary shares are traded on the Moscow exchange under ticker CHZN and
Global Depository Receipts (GDR) are traded on the London Stock Exchange under
ticker CHZN.

Investor and Media Contacts:

Natalya Vasilieva, PR,

Tel: +7 (351) 799-01-52

This announcement may include forward-looking statements. CZP's actual results
may differ materially from those made in or suggested by the forward-looking
statements contained in this announcement. By their nature, forwarding-looking
statements involve risks and uncertainties because they relate to events and
depend on circumstances that may or may not occur in the future.
Forward-looking statements are not guarantees of future performance. Even if
the actual results are consistent with the forward-looking statements
contained in this announcement, those results may not be indicative of results
or developments in future periods. CZP does not undertake any obligation to
update any forward-looking statements to reflect events that occur or
circumstances that arise after the date of this announcement. 

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