Reserves and Resources update as at 1 January 2015

RNS Number : 6614I

Polymetal International PLC

27 March 2015

 



Release time	IMMEDIATE
Date	27 March 2015

Polymetal International plc

Ore Reserves, Mineral Resources and Exploration update as at 1 January 2015

Polymetal International plc (LSE, MOEX: POLY, ADR: AUCOY) (together with its subsidiaries - "Polymetal", the "Company", or the "Group") is pleased to provide an Exploration update for the year ended 31 December 2014 and an update of its Ore Reserves and Mineral Resources as at 1 January 2015 in accordance with the JORC Code (2012).

HIGHLIGHTS

·      In 2014 Polymetal expanded its Ore Reserves to 21.6 Moz of gold equivalent (GE) as a result of Kyzyl acquisition (+6.7 Moz) and updated Ore Reserves estimates at several of our operating mines and exploration projects including, among others, Albazino underground, Svetloye, Kutyn, Veduga;  

·      Mineral Resources (additional to Ore Reserves) decreased by 12% mainly due to resource-to-reserve conversion at Albazino and Svetloye, and a more conservative approach in Mineral Resources estimation for underground mining and as a result of lower prices used. In the meantime, the acquisition of Kyzyl added 3.8 Moz to Mineral Resources;

·      Average Ore Reserves grade increased by 16% to 4.3 g/t GE while average Mineral Resources grade increased by 14% to 4.2 g/t GE, both mainly due to the Kyzyl project acquisition;

·      More conservative gold and silver prices were used for the analysis compared to prior year ($1,200/oz and $17/oz in 2014 vs $1,300/oz and $22.5/oz in 2013);

·      268.8 km of exploration drilling completed, with 200.5 km on brownfield projects and 68.3 km on greenfield projects.

"I am pleased to report meaningful expansion of our reserve base. Our investment in exploration, both greenfield and brownfield, despite the current weak commodity price levels, is one of the core pillars of our strategy." said Vitaly Nesis, CEO of Polymetal, commenting on the results. "I strongly believe that our long-term growth is underpinned by these efforts."

Ore Reserves and Mineral Resources summary⁽¹⁾

	1 January 2015	1 January 2014	Change(2)
Ore Reserves (Proved + Probable), gold equivalent Moz	21.6	13.3	63%
Gold, Moz	17.8	8.9	100%
Silver, Moz	210.7	219.5	-4%
Copper, Kt	79.8	77.0	4%
Mineral Resources (Measured + Indicated + Inferred), gold equivalent Moz	14.6	16.7	-12%
Gold, Moz	12.6	13.4	-6%
Silver, Moz	50.3	117.2	-57%
Copper, Kt	152.6	145.2	5%

¹⁾         Mineral Resources and Ore Reserves are reported in accordance with the JORC Code (2012). Mineral Resources are additional to Ore Reserves.

²⁾         Differences are due to rounding.

The full version of the press release is attached in PDF.

http://www.rns-pdf.londonstockexchange.com/rns/6614I_-2015-3-27.pdf

Enquiries

Media		Investor Relations
Instinctif Partners Leonid Fink Tony Friend	[phone]	Polymetal Maxim Nazimok Evgenia Onuschenko Elena Revenko	[e-mail] [phone] (Russia) [phone] (UK)
Joint Corporate Brokers
Morgan Stanley Bill Hutchings Sam McLennan	[phone]	RBC Europe Limited Darrell Uden Jonny Hardy	[phone]

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.

 

END

 

 

MSCKMGZFVNNGKZG