DJ Polymetal International plc: Ore Reserves, Mineral Resources and Exploration update as at 1 January 2019
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Polymetal International plc (POLY)
Polymetal International plc: Ore Reserves, Mineral Resources and Exploration update as at 1
January 2019
08-March-2019 / 10:00 MSK
Dissemination of a Regulatory Announcement that contains inside information according to
REGULATION (EU) No 596/2014 (MAR), transmitted by EQS Group.
The issuer is solely responsible for the content of this announcement.
Release time IMMEDIATE LSE, MOEX: POLY / ADR: AUCOY
Date 8 March 2019
Polymetal International plc
Ore Reserves, Mineral Resources and Exploration update as at 1 January 2019
Polymetal International plc announces its exploration update for the year ended 31 December 2018,
and reports its Ore Reserves and Mineral Resources as at 1 January 2019 in accordance with the
JORC Code (2012)1.
"In 2018, Polymetal significantly expanded its mineral inventory on the back of a twofold
increase in Ore Reserves at Nezhda, a 5-year life-of-mine extension at Mayskoye and confirmation
of a world-class resource at Prognoz", - said Vitaly Nesis, Group CEO of Polymetal, commenting on
the results. "In 2019 we will continue to focus on extending the life-of-mine at producing
assets".
2018 HIGHLIGHTS
? Group Ore Reserves increased by 15% year-on-year and are now estimated at 24.0 Moz of gold
equivalent (GE). The main drivers were the successful resource-to-reserve conversion at
Mayskoye and the completion of a revised estimate at Nezhda following the Company's
consolidation of 100% ownership in the property. The share of gold in Ore Reserves increased to
93%.
? Mineral Resources (in addition to Ore Reserves) grew 44% year-on-year to 26.3 Moz of GE on
the back of an initial Mineral Resource estimate at Prognoz and Bolshevik (Kyzyl), as well as
the revised estimate at Nezhda. The share of gold in Mineral Resources stands at 80%, silver at
17%.
? The average grade in Ore Reserves remained largely unchanged over the previous year at 3.8
g/t of GE and remains one of the highest in the sector. The average grade in Mineral Resources
increased 8% to 5.1 g/t of GE on the back of high-grade additions at Nezhda and Prognoz.
? In 2018, the Company continued to use conservative price assumptions of US$ 1,200/oz for gold
and lowered the silver price from US$ 16/oz to US$ 15/oz.
? GE Ore Reserves per share grew 6% year-on-year.
? Polymetal completed 350 km of exploration drilling in 2018.
1) Hereinafter Ore Reserves and Mineral Resources are reported as from continuing operations
(Kapan mine sold in January 2019 was classified as a discontinued operation as at 1 January
2019).
Ore Reserves and Mineral Resources summary (1)(2)
1 January 2019 (1) 1 January 2018 Change, %
Ore Reserves (Proved 24.0 20.9 +15%
+ Probable), gold
equivalent Moz
Gold, Moz 22.3 18.4 +21%
Silver, Moz 135.0 158.0 -15%
Copper, Kt 49.1 81.6 -40%
Zinc, Kt (2) 18.1 85.8 -79%
Average reserve 3.8 3.9 -2%
grade, g/t
Ore Reserves per 0.05 0.05 +6%
share, GE oz/per
share
Mineral Resources 26.3
(Measured +
Indicated +
Inferred), gold
equivalent Moz 18.2 +44%
Gold, Moz 21.0 15.7 +34%
Silver, Moz 354.9 109.1 +225%
Copper, Kt 73.6 147.9 -50%
Zinc, Kt 42.6 221.8 -81%
Lead, Kt 197.8 - +100%
Average resource 5.1 4.7 +8%
grade, g/t
1) Ore Reserves and Mineral Resources from continuing operations (Kapan mine sold in January 2019
classified as a discontinued operation as at 1 January 2019).
2) Mineral Resources are additional to Ore Reserves. Ore Reserves of Lead are not presented due
to the immateriality and are not included in the calculation of the gold equivalent. PGM Mineral
Resources are presented separately and are not included in the calculation of the gold
equivalent. Discrepancies in calculations are due to rounding.
2019 OUTLOOK
In 2019, Polymetal will continue to invest in both near-mine and green-field exploration
projects. One key area of focus will be the implementation of new exploration techniques
including airborne geophysics and 2-D seismics. The Company is also evaluating the benefits of
investing in junior explorers through strategic cooperation agreements.
The key objectives are as follows:
? Complete a full revaluation of Ore Reserves and Mineral Resources at Kyzyl based on actual
operating statistics and additional exploration results
? Achieve upgrade of inferred resources into higher categories and/or resource-to-reserve
conversion at the following properties:
? Saum and Pescherny at Voro
? Levoberezhny at Svetloye
? Perevalnoye and Lunnoye deep horizons at Dukat
? Elevator at Varvara
? Flanks and smaller ore bodies at Nezhda
? Eastern extension of Bakyrchik at Kyzyl
? Prepare updated Mineral Resource estimates at Prognoz and Viksha
? Prepare an updated Ore Reserve and Mineral Resource estimate at Veduga
Ore Reserves and Mineral Ore Reserves Mineral Resources
Resources by metal (excluding
Kapan) (1)
Gold 93% 80%
Silver 6% 17%
Copper 1% 2%
Zinc 0% 0%
Lead - 1%
Total 100% 100%
1) Ore Reserves and Mineral Resources from continuing operations (Kapan mine sold in January 2019
was classified as a discontinued operation as at 1 January 2019). Discrepancies in calculations
are due to rounding.
Ore Reserves reconciliation, gold equivalent, Moz (1)(2)
Ore Reserves, 01.01.2018 20.9
Metals to gold equivalent conversion price -0.1
ratio change (1)
Depletion -1.8
Revaluation +1.9
Change in ownership (continuing operations) +3.7
Ore Reserves, 01.01.2019 24.5
Operations classified as discounted after -0.5
the reporting date
(Kapan mine sold in January 2019)
Ore Reserves from continuing operations 24.0
Net change +3.2 +15%
1) Discrepancies in calculations are due to rounding.
2) For the gold equivalent conversion ratios and applicable processing technology please refer to
the Appendix.
Mineral Resources and Ore Reserves as at 1 January 2019 (excluding Kapan) (1)
Tonnage Grade Content
Mt GE, g/t GE, Moz
Mineral
Resources
Measured 20.2 2.8 1.8
Indicated 48.1 4.9 7.6
Measured 68.3 4.3 9.4
+
Indicated
Inferred 91.6 5.7 16.9
Measured 159.9 5.1 26.3
+
Indicated
+
Inferred
Ore
Reserves
Proved 67.0 2.6 5.7
Probable 128.2 4.5 18.4
Proved + 195.2 3.8 24.0
Probable
1) Ore Reserves and Mineral Resources from continuing operations (Kapan mine sold in January 2019
was classified as a discontinued operation as at 1 January 2019). Mineral Resources and Ore
Reserves in accordance with the JORC Code (2012). Mineral Resources are additional to Ore
Reserves. Ore Reserves for Lead are not presented due to their immateriality and are not included
in the calculation of the gold equivalent. A detailed table of Mineral Resources and Ore Reserves
on a by-mine basis are presented below. PGM Mineral Resources are presented separately and are
not included in the calculation of the gold equivalent. Any discrepancies in calculations are due
to rounding.
Exploration areas and volumes (mine site Drilling, km
exploration excluded) (1)
2018 2017
Brownfield
Kyzyl 7.3 8.3
Albazino 46.6 30.2
Mayskoye 29.5 33.4
Varvara 53.2 108.5
Varvara - 35.6
Komar 15.9 59.3
Elevator 15.5 12.1
Other 21.8 1.5
Voro 30.8 11.0
Voro flanks 12.5 3.1
Tamunier - 1.0
Pescherniy 18.3 6.8
Dukat hub 27.6 28.8
Dukat flanks 8.5 15.8
Lunnoye flanks 4.7 2.3
Primorskoye 8.6 6.9
Terem 0.7 3.8
Perevalnoye 5.1 -
Omolon hub 21.3 18.4
Olcha 4.5 2.6
Yolochka - 6.7
Irbychan 6.0 4.7
Nevenrekan 5.2 4.4
Other 5.6 -
Svetloye 5.9 17.2
(MORE TO FOLLOW) Dow Jones Newswires
March 08, 2019 02:02 ET (07:02 GMT)
DJ Polymetal International plc: Ore Reserves, -2-
Svetloye 2.2 2.0
Levoberezhny 3.7 15.2
Okhotsk (sold December 2018) 15.9 30.8
Subtotal 238.3 286.7
Greenfield
Yakutia 85.7 70.9
Nezhda 25.9 33.7
Prognoz 59.8 37.3
Karelia (Viksha) 14.7 39.6
Urals 11.4 22.9
Other - 0.8
Subtotal 111.9 134.2
Total 350.2 420.9
1) Discrepancies in calculations are due to rounding.
EXPLORATION RESULTS
In 2018, exploration efforts were mostly focused on exploration projects in close proximity to
the Company's producing assets in the Magadan, Sverdlovsk and Khabarovsk regions, and on new
assets in Yakutia and Karelia. Exploration activities were carried out on 51 licensed properties
with 350 km of drilling completed in the course of 2018.
Kyzyl
? At Bolshevik (7 km from the concentrator), the Company completed an initial Mineral Resource
estimate comprising 704 Koz of gold with an average grade of 3.4 g/t.
? At Bakyrchik, exploration activities in 2018 were carried out with a goal to prepare an
updated Ore Reserve estimate in 2019. Exploration drilling at the Promezhutochniy and Glubokiy
Log ore zones (41 drill holes totaling 7.3 km) resulted in an increase in mineral resources
according to the sum of the Inferred and Indicated categories.
? In 2019, Polymetal plans to complete a full revaluation of Ore Reserves and Mineral Resources
at the Bakychik deposit based on actual operating data and fresh exploration results.
Albazino
? In 2018, exploration activities were focused on preparing open-pittable reserves at the
Farida and Ekaterina 1&2 ore zones for mining. Drilling volumes increased 54% year-on-year,
totaling 46.6 km.
? A 33% increase in additional mineral resources was achieved at Albazino, adding 403 Koz of
gold. Total Mineral Resources now comprise 1.6 Moz of GE with an average grade of 4.6 g/t.
? In 2019, the Company plans to carry out prospecting and evaluation activities at the Syransk
and Urkachik properties.
Mayskoye
? In 2018, Polymetal continued its exploration efforts at Mayskoye, adding 777 Koz of gold to
reserves as a result of successful resource-to-reserve conversion and extending its life of
mine by 5 years. The updated Ore Reserve estimate now comprises 10 Mt of ore at 6.9 g/t
containing 2.2 Moz of gold. This represents a sizeable increase over the previous estimate with
a 49% increase in tonnage, a 5% improvement in grade and a 55% jump in gold contained.
? Additional Mineral Resources at Mayskoye as at 1 January 2019 are estimated at 2.8 Moz of
gold with an average grade of 11.4 g/t.
? In 2019, the Company continue exploration with the goal to further extend its life-of-mine.
Exploration activities will focus on delineating ore bodies and further resource growth.
Varvara hub
? In 2018, at Komarovskoye, exploration efforts were mostly focused on the Elevator property, a
new prospect situated 8 km east of the Komar deposit. The Company drilled a total of 31.4 km at
Komarovskoye and completed the delineation of gold ore bodies at the northern and southern
flanks. In 2019, exploration activities will be focused on the western flanks of the Elevator
property.
? At Komar, additional Mineral Resources increased by 225 Koz of GE on the back of lower
stripping and mining costs, and consequently, expansion of the open-pit.
? At the East Tarutin gold-copper deposit (owned by Polymetal since 2018), the Company intends
to restart exploration activities with the goal to complete a JORC-compliant Ore Reserve
estimate in 1H 2020. This will require more than 32 km of drilling at the property in 2019.
Voro hub
? In 2018, the Company increased Voro's mineral resources by 19% to 1.2 Moz GE, primarily
driven by additions from the Saum and Pescherniy properties. This will allow for an extension
of Voro's life of mine and halt the production decline.
? At Pesherny (30 km from the CIP plant), exploration activities drove a 12% increase in
Mineral Resources, which now comprise 505 Koz of gold with an average grade of 7.7 g/t. In
2019, the Company plans to complete 10 km of drilling with the goal to upgrade open-pit and
underground resources to the Indicated category.
? At Saum, the Company achieved a twofold increase in Mineral Resources, adding 400 Koz of GE
with an average grade of 9.8 g/t. In 2019, efforts will focus on 0.8 km of in-fill drilling of
conductivity anomalies, and the completion of geophysical surveys aimed at the discovery of new
ore bodies.
? At the Voro open pit, exploration was mostly focused on the assessment of mineralization
below the ultimate pit floor at the northern flanks of the property where ore bodies are not
delineated down-dip and along strike. As a result, new ore bodies were discovered, and known
ore bodies were traced. In 2019, the Company plans to finalize the assessment of mineralization
below the pit.
Dukat hub
? At Lunnoye, depletion was partially offset by reserve additions of 37 Koz of GE, which was
mainly driven by positive exploration results at the south-western flank of ore zone 9.
? In 2019, Polymetal plans to complete the assessment of Perevalnoye and prepare an updated
Mineral Resource and Ore Reserve estimate for the property. Prospecting at the Dukat flanks and
deeper levels of Lunnoye is set to continue. The Company also plans to complete an
aerogeophysical survey at the Dukat ore field and its flanks with a total area of approximately
1000 km2.
Omolon hub
? At Olcha, Mineral Resources (including Ore Reserves) increased by 39 Koz of GE as a result of
the 2018 exploration campaign.
? At Nevenrekan, 62 Koz of GE were added to Mineral Resources, with the updated estimate now
comprising 164 Koz of GE with an average grade of 12.4 g/t. In 2019, the Company plans to
complete the delineation of ore body 1 and further prospecting activities aimed at identifying
ore bodies under basalt.
? In 2019, Polymetal plans to complete prospecting activities at the north-western flank of the
Tsokol property and prepare Yolochka for the start of open-pit mining.
Svetloye
? At Svetloye, an increase in additional Mineral Resources was achieved, adding 86 Koz of gold.
In 2019, the Company plans to undertake additional prospecting drilling and trenching at the
flanks of the Svetloye deposit.
? At Levoberezhny (35 km from Svetloye), the results of in-fill drilling confirmed the
continuity of mineralisation and the viability of using heap-leaching to recover gold.
Nezhda
? In 2018, exploration activities were focused on preparing open-pit reserves in ore zone 1 for
open-pit mining. A total of 26 km was drilled at the property.
? An updated Ore Reserve and Mineral Resource estimate was prepared in accordance with the JORC
Code (2012) as of April 1, 2018:
? Mineral Resources (inclusive of Ore Reserves) comprise of 12.4 Moz of gold equivalent
("GE") with an average GE grade of 4.5 g/t, a 1.6 Moz increase compared with the previous
estimate.
? The estimate of Proved and Probable Ore Reserves increased by 2.4 Moz of GE and now
contains 38 Mt at an average grade of 3.6 g/t GE for 4.4 Moz of GE contained.
? Open-pit reserves increased by 55% from 2.0 Moz to 3.1 Moz; open-pit reserves now comprise
70% of total reserves.
? The FS envisions 25 years of production from 2021 to 2045. The life of mine plan includes
19 years of conventional open-pit mining from 2019 to 2037, and 17 years of production from
underground ore from 2029 to 2045.
? The estimate has been updated with 217 additional drill holes (39 km) and is based on data
from a total 64,708 m of diamond drilling completed by Polymetal between 2015 and 2018 in
addition to the 339,392 m of drilling completed by previous owners. Two hundred and
ninety-four mineralised intersections were identified based on fire assay results.
? Mineral Resources for the open pit were estimated up to a depth of 250 m from the surface,
with the underground portion estimated up to a depth of 440 m from the surface.
Prognoz
? In 2018, Polymetal increased its interest in Prognoz to 100% and completed 60 km of in-fill
drilling that resulted in an updated JORC-compliant Mineral Resource estimate. The Mineral
Resource estimate was prepared by Polymetal and independently audited by SRK Consulting
(Russia) Ltd, effective as at 1 August 2018. In-fill drilling results exceeded our expectations
and strengthened our belief that Prognoz may succeed Dukat as one of the largest primary silver
deposits in the world. The new estimate incorporates data from 532 additional diamond drill
holes (71,2 km) completed by Polymetal in 2017-2018.
? Compared with the previous Mineral Resource estimate completed by Micon in 2009, Polymetal
added lead and used higher cut-off grades together with conservative extrapolation parameters
to ensure a more robust and reliable estimate. As a result, the new estimate in comparison with
the previous one has the following key characteristics:
? Silver equivalent contained totaled 256 Moz at 789 g/t
? Pure silver contained decreased by 19% from 293 Moz to 237 Moz
? Average silver grade increased by 25% from 586 g/t to 731 g/t
? Average vein width increased by 15% from 1.9 m to 2.2 m
? The share of open-pit resources comprises 46%
? The share of resources within the Indicated category increased from 50% to 61%
? The share of resources in two largest veins (Main and Swamp) increased from 73% to 80%
? In 2019 Polymetal plans to complete:
? 24.3 km of diamond drilling to upgrade the existing inferred resources to indicated
(MORE TO FOLLOW) Dow Jones Newswires
March 08, 2019 02:02 ET (07:02 GMT)
DJ Polymetal International plc: Ore Reserves, -3-
category. Based on historic experience, the management expects at least 80% conversion rate
? 15.7 km of diamond drilling to establish new resources on extensions of Main and Swamp
Zones along the strike as well as at Lucky, Spring, Faraway, and Sunny veins. Polymetal
expects to add at least 60 Moz of contained silver after completing this campaign.
Veduga
? In 2018, the Company increased its ownership in Veduga to 74.3%. As a result of additional
exploration at the deeper levels of ore bodies 1 and 18, 125 Koz of gold were added to Mineral
Resources.
? In 2019, Polymetal intends to reevaluate Ore Reserves and achieve reserve growth by including
the flanks and deeper levels of the deposit in the estimate.
PGMs
? 9.3 km of exploration drilling was completed at Viksha in Karelia with the goal to prepare
the deposit for a reserve estimate in the future. The Company expects to announce the updated
Mineral Resource estimate for the property in Q3 2019.
? In 2019, exploration activities are set to continue at the flanks of the property with a view
to upgrade resources from the Inferred category to Indicated, and update the estimate to
reflect the growth in PGM prices.
? Polymetal intends to continue searching for and assessing prospective properties with the
goal of discovering new PGM projects around Karelia that fit the Company's requirements in
terms of size for a stand-alone operation.
Ore Reserves as at 1 January 2019 (1)
Tonnage Grade Content
Kt Au, Ag, Cu, Zn, GE, Au, Ag, Cu, Zn, GE,
g/t g/t % g/t Kt Koz
% Koz Koz Kt
Proved
Standalone 7,350 4.5 1,06 - - - 1,0
Mines 3 63
Albazino 5,460 3.8 - - - 3.8 667 - - - 667
Mayskoye 1,560 6.7 - - - 6.7 338 - - - 338
Kyzyl 330 5.5 - - - 5.5 58 - - - 58
project
(Bakyrchik)
(2)
Dukat hub 6,600 3.5 130 52, - - 740
772
Dukat 4,960 0.4 240 - - 3.1 72 38, - - 491
190
Lunnoye 1,370 1.2 267 - - 4.7 54 11, - - 205
721
Goltsovoye 40 - 374 - - 4.7 - 542 - - 7
Arylakh 230 0.6 326 - - 4.6 4 2,3 - - 36
19
Varvara hub 19,710 1.4 791 - 12.7 - 858
Varvara (3) 11,640 0.9 - 0.49 - 1.1 354 - 12.7 - 421
Komar 3,260 1.4 - - - 1.4 142 - - - 142
Maminskoye 4,810 1.9 - - - 1.9 295 - - - 295
(4)
Omolon hub 8,300 2.7 634 9,1 - - 721
54
Birkachan 3,210 2.2 6 - - 2.3 226 659 - - 233
Sopka 3,170 1.2 57 - - 1.8 128 5,8 - - 182
Kvartsevaya 42
Oroch (5) 250 3.7 155 - - 5.3 29 1,2 - - 42
29
Olcha 200 9.9 19 - - 10.1 62 120 - - 63
Dalneye (6) 860 1.9 32 - - 2.1 52 879 - - 58
Tsokol 230 5.9 7 - - 6.0 44 49 - - 44
Kubaka
Burgali (7) 380 7.9 31 - - 8.2 95 375 - - 98
Voro hub 9,450 1.6 491 891 - - 500
Voro 9,450 1.6 3 - - 1.6 491 891 - - 500
Svetloye 1,930 2.5 157 229 - - 157
hub
Svetloye 1,930 2.5 4 - - 2.5 157 229 - - 157
Development
and
exploration
projects
13,630 3.8 1,57 7,6 - - 1,6
3 03 53
Nezhda (9) 11,730 3.6 20 - - 3.9 1,37 7,6 - - 1,4
2 03 52
Veduga (10) 320 3.1 - - - 3.1 32 - - - 32
Kutyn (11) 1,580 3.3 - - - 3.3 169 - - - 169
Total 66,970 2.6 4,83 70, 12.7 - 5,6
Proved 8 649 90
Kapan 50 1.6 30 0.34 1.17 3.2 2 44 0.2 0.5 5
(discontinu
ed) (13)
Total 67,020 2.6 4,84 70, 12.9 0.5 5,6
Proved 1 693 95
(including
discontinue
d
operations)
Probable
Standalone 47,680 6.9 10,5 - - - 10,
Mines 56 556
Albazino 11,000 4.5 - - - 4.5 1,60 - - - 1,6
4 04
Mayskoye 8,340 6.9 - - - 6.9 1,84 - - - 1,8
3 43
Kyzyl 28,340 7.8 - - - 7.8 7,10 - - - 7,1
project 9 09
(Bakyrchik)
(2)
Dukat hub 5,560 3.9 131 49, - - 702
735
Dukat 4,050 0.5 290 - - 3.7 68 37, - - 483
724
Lunnoye 1,030 1.8 234 - - 4.8 60 7,7 - - 159
15
Tonnage Grade Content
Kt Au, Ag, Cu, Zn, GE, Au, Ag, Cu, Zn, GE,
g/t g/t % g/t Kt Koz
% Koz Koz Kt
Goltsovoye 120 - 329 - - 4.1 - 1,2 - - 17
69
Arylakh 100 0.9 306 - - 4.6 3 972 - - 16
Perevalnoye 260 - 247 - - 3.3 - 2,0 - - 27
56
Varvara hub 34,360 1.8 1,88 - 14.8 - 1,9
8 66
Varvara (3) 5,980 1.2 - 0.64 - 1.6 237 - 14.8 - 315
Komar 18,490 1.7 - - - 1.7 1,03 - - - 1,0
3 33
Maminskoye 9,890 1.9 - - - 1.9 618 - - - 618
(4)
Omolon hub 1,560 8.3 400 1,5 - - 416
40
Birkachan 1,020 8.7 25 - - 9.0 284 824 - - 292
Sopka 90 4.3 137 - - 5.8 12 383 - - 16
Kvartsevaya
Olcha 180 9.5 25 - - 9.8 55 147 - - 57
Tsokol 110 6.9 12 - - 7.0 25 42 - - 25
Kubaka
Burgali (7) 160 4.7 28 - - 5.0 24 144 - - 25
Voro hub 330 16.9 71 1,0 18.9 18.1 180
57
Voro 10 3.6 4 - - 3.6 1 1 - - 1
North 320 6.7 101 5.81 5.58 17.1 70 1,0 18.9 18.1 179
Kaluga (8) 56
Svetloye 3,290 2.6 278 364 - - 278
hub
Svetloye 3,290 2.6 3 - - 2.6 278 364 - - 278
Development
and
exploration
projects
35,420 3.7 4,11 11, - - 4,2
9 692 56
Nezhda (9) 26,290 3.4 13 - - 3.5 2,84 10, - - 2,9
4 981 60
Veduga (10) 6,030 4.9 - - - 4.9 950 - - - 950
Kutyn (11) 2,070 3.3 - - - 3.3 217 - - - 217
Lichkvaz 1,030 3.3 21 0.27 - 3.9 108 711 2.8 - 129
(12)
Total 128,200 4.5 17,4 64, 36.4 18.1 18,
Probable 43 387 354
Kapan (13) 3,420 2.1 41 0.45 1.73 4.4 236 4,5 15.5 59.1 486
54
Total 131,620 4.5 17,6 68, 51.8 77.2 18,
Probable 79 941 839
(including
discontinue
d
operations)
Proved +
Probable
Standalone 55,030 6.6 11,6 - - - 11,
Mines 19 619
Albazino 16,460 4.3 - - - 4.3 2,27 - - - 2,2
1 71
Mayskoye 9,900 6.9 - - - 6.9 2,18 - - - 2,1
1 81
Kyzyl 28,670 7.8 - - - 7.8 7,16 - - - 7,1
project 7 67
(Bakyrchik)
(2)
Dukat hub 12,160 3.7 261 102 - - 1,4
,50 42
7
Dukat 9,010 0.5 262 - - 3.4 140 75, - - 974
914
Lunnoye 2,400 1.5 253 - - 4.7 114 19, - - 364
436
Goltsovoye 160 - 341 - - 4.3 - 1,8 - - 24
10
Arylakh 330 0.7 320 - - 4.6 7 3,2 - - 53
91
Perevalnoye 260 - 247 - - 3.3 - 2,0 - - 27
(MORE TO FOLLOW) Dow Jones Newswires
March 08, 2019 02:02 ET (07:02 GMT)
DJ Polymetal International plc: Ore Reserves, -4-
56
Varvara hub 54,070 1.6 2,67 - 27.5 - 2,8
9 23
Varvara (3) 17,620 1.0 - 0.56 - 1.3 591 - 27.5 - 736
Komar 21,750 1.7 - - - 1.7 1,17 - - - 1,1
5 75
Maminskoye 14,700 1.9 - - - 1.9 913 - - - 913
(4)
Tonnage Grade Content
Kt Au, Ag, Cu, Zn, GE, Au, Ag, Cu, Zn, GE,
g/t g/t % g/t Kt Koz
% Koz Koz Kt
Omolon hub 9,860 3.6 1,03 10, - - 1,1
4 693 36
Birkachan 4,230 3.8 11 - - 3.9 509 1,4 - - 525
83
Sopka 3,260 1.3 59 - - 1.9 140 6,2 - - 199
Kvartsevaya 25
Oroch (5) 250 3.7 155 - - 5.3 29 1,2 - - 42
29
Olcha 380 9.7 22 - - 10.0 117 267 - - 120
Dalneye (6) 860 1.9 32 - - 2.1 52 879 - - 58
Tsokol 340 6.2 8 - - 6.3 69 91 - - 70
Kubaka
Burgali (7) 540 7.0 30 - - 7.2 119 519 - - 123
Voro hub 9,780 2.2 562 1,9 18.9 18.1 679
48
Voro 9,460 1.6 3 - - 1.6 492 892 - - 501
North 320 6.7 101 5.81 5.58 17.1 70 1,0 18.9 18.1 179
Kaluga (8) 56
Svetloye 5,220 2.6 4 2.6 435 593 - - 435
hub
Svetloye 5,220 2.6 4 - - 2.6 435 593 - - 435
Development
and
exploration
projects
49,050 3.7 5,69 19, 2.8 - 5,9
2 295 09
Nezhda (9) 38,020 3.4 15 - - 3.6 4,21 18, - - 4,4
6 585 12
Veduga (10) 6,350 4.8 - - - 4.8 982 - - - 982
Kutyn (11) 3,650 3.3 - - - 3.3 386 - - - 386
Lichkvaz 1,030 3.3 21 0.27 - 3.9 108 711 2.8 - 129
(12)
Total 195,170 3.8 22,2 135 49.1 18.1 24,
Proved + 81 ,03 044
Probable 6
Kapan (13) 3,470 2.1 41 0.45 1.72 4.4 238 4,5 15.6 59.6 490
97
Total 198,640 3.8 22,5 139 64.7 77.8 24,
Proved + 20 ,63 534
Probable 4
(including
discontinue
d
operations)
1) Ore Reserves in accordance with the JORC Code (2012). Discrepancies in calculations are due to
rounding.
2) Previous estimate prepared by RPA Inc. as at 01.01.2015. Price: Au = US$1,200/oz. Revised
estimate was prepared by Polymetal as at 01.01.2019 (accounts only for depletion).
3) Cu grade in Ore Reserves only represents average grade in flotation feed. Ore Reserves for
flotation: 2.6 Mt Proved and 2.3 Mt Probable.
4) Estimate prepared by Polymetal as at 01.01.2014. Price: Au = US$1,300/oz. Revised estimate was
not performed due to lack of material changes.
5) Stockpiled Ore Reserves.
6) Stockpiled Ore Reserves.
7) Estimate prepared by Polymetal as at 01.01.2016. Price: Au = US$1,100/oz and Ag = US$15/oz.
Revised estimate was not performed due to lack of material changes.
8) Initial estimate prepared by Polymetal as at 01.07.2014. Price: Au = US$1,300/oz, Ag =
US$20/oz, Cu = US$7,000/t and Zn = US$1,700/t. Revised estimate was not performed due to lack of
material changes.
9) Initial estimate prepared by CSA as at 01.04.2018. Price: Au = US$1,200/oz and Ag = US$16/oz.
Revised estimate was not performed due to lack of material changes.
10) Ore Reserves are presented in accordance with the Company's ownership equal to 74.3%.
11) Initial estimate prepared by Snowden as at 01.01.2015. Price: Au= US$1,300/oz. Only Ore
Reserves estimate for Heap Leach. Revised estimate was not performed due to lack of material
changes.
12) Initial estimate prepared by Polymetal as at 01.01.2018. Price: Au = US$1,200/oz, Ag =
US$16/oz, Cu = US$5,500/t. Revised estimate was prepared by Polymetal as at 01.01.2019 (accounts
only for depletion).
13) Asset sold in January 2019. Initial estimate prepared by Polymetal as at 01.01.2018. Price:
Au = US$1,200/oz, Ag = US$16/oz, Cu = US$5,500/t and Zn = US$2,200/t. Revised estimate was
prepared by Polymetal as at 01.01.2019 (accounts only for depletion).
Mineral Resources as at 1 January 2019 (1)
Tonnage Grade Content
Kt Au, Ag, Cu, Zn, % Pb, GE, Au, Ag, Cu, Zn, Pb, GE,
g/t g/t % g/t Koz Koz Kt
% Kt Kt Koz
Measured
Standalone
Mines
4,410 5.3 751 - - - - 751
Albazino 2,990 2.1 - - - - 2.1 206 - - - - 206
Mayskoye 1,220 13.0 - - - - 13.0 512 - - - - 512
Kyzyl project 200 5.1 - - - - 5.1 33 - - - - 33
(Bakyrchik)
(2)
Dukat hub 1,380 7.2 57 21, - - - 320
833
Dukat 680 0.9 496 - - - 6.4 20 10, - - - 140
898
Lunnoye 550 2.0 416 - - - 7.3 35 7,4 - - - 131
64
Goltsovoye 80 - 980 - - - 13.1 - 2,4 - - 33
70
Arylakh 70 0.9 459 - - - 7.3 2 1,0 - - - 16
00
Varvara hub 11,480 1.1 292 - 23.9 - - 418
Varvara (4) 10,400 0.7 - 0.40 - - 1.1 240 - 23.9 - - 366
Komar 100 2.5 - - - - 2.5 8 - - - - 8
Maminskoye 980 1.4 - - - - 1.4 44 - - - - 44
(5)
Omolon hub 1,020 3.1 92 1,0 - - - 103
67
Birkachan 20 17.0 53 - - - 17.5 10 31 - - - 10
Oroch (6) 480 1.2 51 - - - 1.7 19 795 - - - 27
Olcha 170 5.0 16 - - - 5.2 29 93 - - - 30
Dalneye (7) 220 1.1 16 - - - 1.2 8 112 - - - 8
Tsokol-Kubaka 130 6.6 9 - - - 6.7 28 36 - - - 28
Voro hub 260 2.8 22 40 - - - 23
Voro 260 2.7 5 - - - 2.8 22 40 - - - 23
Svetloye hub 50 3.1 5 6 - - - 5
Svetloye 50 3.1 4 - - - 3.1 5 6 - - - 5
Development 1,640 3.6 178 420 1.2 - - 188
and
exploration
projects
Nezhda (11) 220 4.0 9 - - - 4.1 28 61 - - - 29
Veduga (12) 290 0.8 - - - - 0.8 7 - - - - 7
Kutyn (13) 740 4.1 - - - - 4.1 97 - - - - 97
Lichkvaz (15) 390 3.5 28 0.30 - - 4.3 45 359 1.2 - - 55
Total 20,240 2.8 1,39 23, 25.1 - - 1,8
Measured 7 367 07
Kapan (16) 20 5.2 74 0.95 4.05 - 10.0 3 38 0.2 0.6 - 5
Total 20,260 2.8 1,40 23, 25.2 0.6 - 1,8
Measured 0 404 13
(including
discontinued
operations)
Indicated
Standalone 7,280 6.1 1,42 - - - - 1,4
Mines 6 26
Albazino 3,330 4.6 - - - - 4.6 492 - - - - 492
Mayskoye 1,210 10.0 - - - - 10.0 390 - - - - 390
Kyzyl project 2,740 6.2 - - - - 6.2 545 - - - - 545
(Bakyrchik)
(2)
Tonnage Grade Content
Kt Au, Ag, Cu, Zn, % Pb, GE, Au, Ag, Cu, Zn, Pb, GE,
g/t g/t % g/t Koz Koz Kt
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DJ Polymetal International plc: Ore Reserves, -5-
% Kt Kt Koz
Dukat hub 1,270 11.7 91 31, - - - 479
002
Dukat 440 0.9 469 - - - 6.0 13 6,6 - - - 86
86
Lunnoye 180 2.4 325 - - - 6.6 14 1,8 - - - 38
77
Goltsovoye 110 - 829 - - 11.1 - 3,0 - - 40
25
Arylakh 60 1.3 320 - - - 5.7 2 622 - - - 11
Perevalnoye 10 - 405 5.4 - 181 2
Primorskoye 470 4.2 1,238 - - - 20.0 62 18, - - - 301
(3) 610
Varvara hub 17,130 1.8 907 - 12.2 - - 971
Varvara (4) 7,700 1.4 - 0.53 - - 1.6 338 - 12.2 - - 402
Komar 8,280 1.9 - - - - 1.9 514 - - - - 514
Maminskoye 1,150 1.5 - - - - 1.5 55 - - - - 55
(5)
Omolon hub 850 9.5 182 6,8 - - - 259
53
Birkachan 60 11.2 23 - - - 11.4 20 42 - - - 21
Olcha 70 9.1 28 - - - 9.5 20 61 - - - 21
Tsokol-Kubaka 20 6.2 11 - - - 6.3 3 6 - - - 3
Irbychan 360 4.7 130 - - - 6.1 54 1,5 - - - 71
02
Nevenrekan 340 7.8 476 - - - 13.1 86 5,2 - - - 144
43
Voro hub 5,130 6.3 731 2,5 26.8 42.6 - 1,0
39 38
Voro 180 2.6 4 - - - 2.7 16 22 - - - 16
Tamunier (10) 2,190 3.4 10 - - - 3.5 242 690 - - - 245
Saum 1,260 2.4 45 2.14 3.39 - 9.9 96 1,8 26.8 42.6 - 399
27
Pesherny 1,500 7.8 - - - - 7.8 378 - - - - 378
Svetloye hub 3,680 3.4 404 139 - - - 404
Svetloye 1,500 2.3 3 - - - 2.4 113 139 - - - 114
Levoberezhny 2,180 4.1 - - - - 4.1 291 - - - - 291
Development 12,720 7.3 893 146 1.0 - 119.8 2,9
and ,35 97
exploration 6
projects
Nezhda (11) 2,770 3.7 16 - - - 3.9 331 1,4 - - - 346
23
Kutyn (13) 3,030 4.0 - - - - 4.0 389 - - - - 389
Prognoz (14) 5,570 - 808 - - 2.15 11.6 - 144 - - 119.8 2,0
,71 81
0
Bolshevik 1,020 4.1 - - - - 4.1 134 - - - - 134
Lichkvaz (15) 330 3.7 21 0.30 - - 4.4 39 222 1.0 - - 47
Total 48,060 4.9 4,63 186 40.0 42.6 119.8 7,5
Indicated 5 ,88 74
9
Kapan (16) 320 2.9 57 0.66 2.39 - 6.1 30 588 2.1 7.6 - 63
Total 48,380 4.9 4,66 187 42.1 50.2 119.8 7,6
Indicated 5 ,47 36
(including 7
discontinued
operations)
Measured + Indicated
Standalone 11,690 5.8 2,17 - - - - 2,1
Mines 7 77
Albazino 6,320 3.4 - - - - 3.4 697 - - - - 697
Mayskoye 2,430 11.5 - - - - 11.5 901 - - - - 901
Kyzyl project 2,940 6.1 - - - - 6.1 578 - - - - 578
(Bakyrchik)
(2)
Dukat hub 2,650 9.4 149 52, - - - 798
835
Dukat 1,120 0.9 485 - - - 6.2 33 17, - - - 226
584
Tonnage Grade Content
Kt Au, Ag, Cu, Zn, % Pb, GE, Au, Ag, Cu, Zn, Pb, GE,
g/t g/t % g/t Koz Koz Kt
% Kt Kt Koz
Lunnoye 730 2.1 394 - - - 7.1 49 9,3 - - - 169
42
Goltsovoye 190 - 891 - - - 11.9 - 5,4 - - - 73
96
Arylakh 130 1.1 394 - - - 6.6 4 1,6 - - - 27
22
Perevalnoye 10 - 405 - - - 5.4 - 181 - - - 2
Primorskoye 470 4.2 1,238 - - - 20.0 62 18, - - - 301
(3) 610
Varvara hub 28,610 1.5 1,19 - 36.1 - - 1,3
9 89
Varvara (4) 18,100 1.0 - 0.43 - - 1.3 578 - 36.1 - - 768
Komar 8,380 1.9 - - - - 1.9 522 - - - - 522
Maminskoye 2,130 1.4 - - - - 1.4 99 - - - - 99
(5)
Omolon hub 1,870 6.0 274 7,9 - - - 363
20
Birkachan 80 12.6 31 - - - 12.9 30 73 - - - 31
Oroch (6) 480 1.2 51 - - - 1.7 19 795 - - - 27
Olcha 240 6.1 19 - - - 6.4 48 154 - - - 50
Dalneye (7) 220 1.1 16 - - - 1.2 8 112 - - - 8
Tsokol-Kubaka 150 6.5 9 - - - 6.6 31 41 - - - 31
Irbychan 360 4.7 130 - - - 6.1 54 1,5 - - - 71
02
Nevenrekan 340 7.8 476 - - - 13.1 86 5,2 - - - 144
43
Voro hub 5,390 6.1 754 2,5 26.8 42.6 - 1,0
80 61
Voro 440 2.7 4 - - - 2.7 38 63 - - - 39
Tamunier (10) 2,190 3.4 10 - - - 3.5 242 690 - - - 245
Saum 1,260 2.4 45 2.14 3.39 - 9.9 96 1,8 26.8 42.6 - 399
27
Pesherny 1,500 7.8 - - - - 7.8 378 - - - - 378
Svetloye hub 3,730 3.4 409 144 - - - 409
Svetloye 1,550 2.4 3 - - - 2.4 118 144 - - - 118
Levoberezhny 2,180 4.1 - - - - 4.1 291 - - - - 291
Development 14,360 6.9 1,07 146 2.2 - 119.8 3,1
and 1 ,77 85
exploration 6
projects
Nezhda (11) 2,990 3.7 15 - - - 3.9 359 1,4 - - - 375
84
Veduga (12) 290 0.8 - - - - 0.8 7 - - - - 7
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Kutyn (13) 3,770 4.0 - - - - 4.0 486 - - - - 486
Prognoz (14) 5,570 - 808 - - 2.15 11.6 - 144 - - 119.8 2,0
,71 81
0
Bolshevik 1,020 4.1 - - - - 4.1 134 - - - - 134
Lichkvaz (15) 720 3.6 25 0.30 - - 4.4 84 581 2.2 - - 102
Total 68,300 4.3 6,03 210 65.1 42.6 119.8 9,3
Measured + 2 ,25 81
Indicated 5
Kapan (16) 340 3.0 58 0.67 2.47 - 6.3 33 626 2.2 8.2 - 68
Total 68,640 4.3 6,06 210 67.3 50.9 119.8 9,4
Measured + 5 ,88 49
Indicated 2
(including
discontinued
operations)
Inferred
Standalone 21,290 7.9 5,38 - - - - 5,3
Mines 8 88
Albazino 4,690 6.2 - - - - 6.2 942 - - - - 942
Mayskoye 5,180 11.3 - - - - 11.3 1,88 - - - - 1,8
4 84
Kyzyl project 11,420 7.0 - - - - 7.0 2,56 - - - - 2,5
(Bakyrchik) 2 62
(2)
Tonnage Grade Content
Kt Au, Ag, Cu, Zn, % Pb, GE, Au, Ag, Cu, Zn, Pb, GE,
g/t g/t % g/t Koz Koz Kt
% Kt Kt Koz
Dukat hub 2,270 6.8 51 36, - - - 499
775
Dukat 1,030 1.0 527 - - - 6.8 33 17, - - - 224
418
Lunnoye 290 1.6 417 - - - 7.0 15 3,7 - - - 62
42
Goltsovoye 130 - 688 - - 9.2 - 2,9 - - 39
27
Arylakh 110 0.6 525 - - - 7.8 2 1,8 - - - 28
89
Perevalnoye 680 - 467 6.2 - 10, 136
171
Primorskoye 30 1.8 787 - - - 11.8 1 629 - - - 9
(2)
Varvara hub 5,330 1.9 298 - 5.3 - - 326
Varvara (4) 4,110 1.6 - 0.60 - - 1.8 213 - 5.3 - - 241
Komar 1,220 2.2 - - - - 2.2 85 - - - - 85
Omolon hub 600 10.4 187 1,1 - - - 200
91
Sopka 20 3.9 122 - - - 5.2 1 43 - - - 2
Kvartsevaya
Olcha 100 11.7 43 - - - 12.2 38 141 - - - 40
Tsokol Kubaka 80 8.7 16 - - - 8.9 22 42 - - - 23
Burgali (8) 50 11.9 15 - - - 12.0 21 26 - - - 21
Irbychan 40 4.6 142 - - - 6.2 6 202 - - - 9
Yolochka (9) 240 11.1 10 - - - 11.2 85 73 - - - 86
Nevenrekan 70 5.4 293 - - - 8.7 12 664 - - - 20
Voro hub 1,030 5.4 177 88 - - - 178
Tamunier (10) 480 3.2 4 - - - 3.3 50 69 - - - 50
Saum 10 1.9 45 - - - 2.3 1 20 - - - 1
Pesherny 540 7.3 - - - - 7.3 127 - - - - 127
Svetloye hub 200 2.9 18 23 - - - 19
Svetloye 160 2.9 4 - - - 2.9 15 23 - - - 15
Levoberezhny 40 2.3 - - - - 2.3 3 - - - - 3
Development 60,860 5.3 8,81 106 3.2 - 77.9 10,
and 6 ,55 315
exploration 3
projects
Nezhda (11) 46,440 5.1 9 - - - 5.2 7,55 13, - - - 7,6
2 679 96
Veduga (12) 1,500 5.8 - - - - 5.8 282 - - - - 282
Kutyn (13) 2,200 4.0 - - - - 4.0 284 - - - - 284
Prognoz (14) 4,500 - 635 - - 1.73 9.2 - 91, - - 77.9 1,3
822 27
Bolshevik 5,340 3.3 - - - - 3.3 570 - - - - 570
Lichkvaz (15) 880 4.5 37 0.36 - - 5.5 128 1,0 3.2 - - 155
52
Total 91,580 5.7 14,9 144 8.5 - 77.9 16,
Inferred 36 ,63 925
1
Kapan (16) 8,020 2.9 62 0.67 2.28 - 6.1 739 16, 53.4 183.0 - 1,5
012 64
Total 99,600 5.8 15,6 160 61.9 183.0 77.9 18,
Inferred 74 ,64 488
(including 2
discontinued
operations)
Measured + Indicated + Inferred
Standalone 32,980 7.1 7,56 - - - - 7,5
Mines 5 65
Albazino 11,010 4.6 - - - - 4.6 1,63 - - - - 1,6
9 39
Mayskoye 7,610 11.4 - - - - 11.4 2,78 - - - - 2,7
6 86
Kyzyl project 14,360 6.8 - - - - 6.8 3,14 - - - - 3,1
(Bakyrchik) 0 40
(2)
Tonnage Grade Content
Kt Au, Ag, Cu, Zn, % Pb, GE, Au, Ag, Cu, Zn, Pb, GE,
g/t g/t % g/t Koz Koz Kt
% Kt Kt Koz
Dukat hub 4,920 8.2 199 89, - - - 1,2
610 97
Dukat 2,150 0.9 505 - - - 6.5 65 35, - - - 450
002
Lunnoye 1,020 1.9 400 - - - 7.1 64 13, - - - 231
083
Goltsovoye 320 - 808 - - 10.8 - 8,4 - - 112
23
Arylakh 240 0.8 455 - - - 7.2 6 3,5 - - - 55
11
Perevalnoye 690 - 466 6.2 - 10, 138
351
Primorskoye 500 4.0 1,216 - - - 19.6 64 19, - - - 311
(3) 239
Varvara hub 33,940 1.6 1,49 - 41.3 - - 1,7
7 15
Varvara (4) 22,210 1.1 - 0.45 - - 1.4 791 - 41.3 - - 1,0
09
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