Public Joint Stock Company Polyus (PLZL) H1 2024 TU earnings summary

Executive summary

• Ore mined increased 38% year-over-year to 50,210 kt, driven by higher volumes at Blagodatnoye, Natalka, and Kuranakh.

• Total gold output rose 3% to 1,473 koz, with doré gold output up 5% to 1,481 koz compared to 1H 2023.

• Recovery rate improved to 83.6%, up 0.9 ppts year-over-year, mainly at Olimpiada and Blagodatnoye.

• Polyus increased 2024 production guidance to 2.75–2.85 million ounces.

Segment performance

• Olimpiada: Gold output fell 6% year-over-year to 740 koz due to lower grades, despite a 1.6 ppts recovery rate increase.

• Blagodatnoye: Refined gold output surged 40% to 279 koz, supported by higher ore grades and mining volumes.

• Natalka: Refined gold output decreased 6% to 189 koz, despite a 78% increase in ore mined and higher processed grades.

• Verninskoye: Refined gold output dropped 11% to 126 koz, with lower ore grades and a 58% reduction in rock moved.

• Kuranakh: Refined gold output rose 34% to 140 koz, driven by a 38% increase in ore processed and higher grades.

• Sukhoi Log: 4,172 kt ore mined at 0.78 g/t; infrastructure and drilling programs advanced, with pilot testing at Verninskoye Mill planned.

Outlook and guidance

• 2024 gold production guidance raised to 2.75–2.85 million ounces.

• Sukhoi Log project update expected in Q4 2024; additional drilling and infrastructure development ongoing.