REG-Polymetal International plc Polymetal: Kutyn start-up

Polymetal International PKAnnouncement

20/09/2022 07:15

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   Polymetal International plc (POLY)
   Polymetal: Kutyn start-up

   20-Sep-2022 / 09:00 MSK
   Dissemination of a Regulatory Announcement, transmitted by EQS Group.
   The issuer is solely responsible for the content of this announcement.

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   Release time IMMEDIATE                             LSE, MOEX, AIX: POLY
   Date         20 September 2022                               ADR: AUCOY
                                                       

   Polymetal International plc

     Kutyn start-up

   Polymetal announces first gold  production at Kutyn mine  (Amursk-Albazino
   hub).

   “Remote  location,  severe   climate,  and   unprecedented  supply   chain
   disruptions  presented  major  challenges  at  Kutyn.  The  project   team
   successfully overcame  all difficulties  to deliver  first production  six
   months ahead  of  the  original  schedule.  This  achievement  underscores
   Polymetal’s outstanding track  record in project  execution”, said  Vitaly
   Nesis, Group CEO of Polymetal.

   Following  successful   completion  of   construction  and   commissioning
   activities, Kutyn heap  leach facility produced  first 6 Koz  of gold.  In
   2022, production is expected to amount to 40 Koz of gold. Full heap  leach
   processing capacity of 1.3 Mtpa of ore will be reached in 2023. Processing
   of the  refractory ore  at Albazino  concentrator will  commence in  2025.
   Average annual output from 2023 to  2030 will be approximately 100 Koz  of
   gold with average AISC of approximately US$ 950/oz.

   The construction  was completed  in 24  months after  the Board’s  project
   approval, six months  ahead of the  initial plan. Accelerated  development
   was made possible  by effective  planning, tight  project management,  and
   creative approaches to supply chain issues. Project CAPEX of approximately
   US$ 110 1  1   million is  US$  30 million  (38%)  above the  plan.  CAPEX
   overrun was  mostly due  to  expanded scope  (addition of  refractory  ore
   mining and ore haulage  road), higher fuel prices  and COVID-19 impact  on
   logistics, labor costs.

   JORC-compliant Ore Reserves at  Kutyn are estimated at  12 Mt of  open-pit
   oxide and refractory ore containing 1.1 GE Moz at gold equivalent grade of
   2.9 g/t. Additional Mineral Resources amount to 2.5 Mt of ore   containing
   414 Koz of GE at 5.1 g/t.

   Kutyn deposit is located in the Tugur-Chumikan District of the  Khabarovsk
   Territory, Far East Russia, 114 km north-west of the Albazino mine and 600
   km from Khabarovsk.  The Kutyn site  can be accessed  using a winter  road
   from Albazino or by sea through the  seasonal port of Ulban on the Sea  of
   Okhotsk.

   Enquiries

       Investor Relations
   Polymetal         2 ir@polymetalinternational.com

   Evgeny Monakhov  +44 20 7887 1475 (UK)
   Timofey Kulakov
   Kirill Kuznetsov +7 812 334 3666 (Russia)

    

    

                           FORWARD-LOOKING STATEMENTS

    

   This release may  include statements  that are, or  may be  deemed to  be,
   “forward-looking statements”. These forward-looking statements speak  only
   as at the date  of this release. These  forward-looking statements can  be
   identified by the use of forward-looking terminology, including the  words
   “targets”,  “believes”,  “expects”,  “aims”,  “intends”,  “will”,   “may”,
   “anticipates”, “would”, “could” or “should” or similar expressions or,  in
   each  case  their  negative  or  other  variations  or  by  discussion  of
   strategies, plans, objectives, goals,  future events or intentions.  These
   forward-looking statements  all include  matters that  are not  historical
   facts. By their nature, such forward-looking statements involve known  and
   unknown risks,  uncertainties  and  other  important  factors  beyond  the
   company’s control  that could  cause the  actual results,  performance  or
   achievements of  the  company  to  be  materially  different  from  future
   results,  performance  or  achievements  expressed  or  implied  by   such
   forward-looking statements. Such forward-looking  statements are based  on
   numerous assumptions regarding the  company’s present and future  business
   strategies and the environment  in which the company  will operate in  the
   future.  Forward-looking   statements  are   not  guarantees   of   future
   performance. There are many factors that could cause the company’s  actual
   results, performance  or  achievements  to differ  materially  from  those
   expressed  in  such  forward-looking  statements.  The  company  expressly
   disclaims any  obligation or  undertaking to  disseminate any  updates  or
   revisions to any  forward-looking statements contained  herein to  reflect
   any change in the company’s expectations with regard thereto or any change
   in events, conditions or  circumstances on which  any such statements  are
   based.

    

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    3  1  Excluding capitalized stripping and exploration costs.

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   ISIN:           JE00B6T5S470
   Category Code:  MSCM
   TIDM:           POLY
   LEI Code:       213800JKJ5HJWYS4GR61
   OAM Categories: 3.1. Additional regulated information required to be
                   disclosed under the laws of a Member State
   Sequence No.:   189050
   EQS News ID:    1445673


    
   End of Announcement EQS News Service

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References

   Visible links
   1. file:///data/ucdp/tmp/xhtmlconvert_parsn_eqs_TXYafnrz.html#_ftn1
   2. mailto:ir@polymetalinternational.com
   3. file:///data/ucdp/tmp/xhtmlconvert_parsn_eqs_TXYafnrz.html#_ftnref1


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