Public Joint Stock Company Polyus (PLZL) H2 2024 TU earnings summary

Executive summary

• FY 2024 ore mined increased 20% year-over-year to 98,026 kt, driven by higher volumes at Natalka, Blagodatnoye, and Kuranakh, offsetting declines at Olimpiada and Verninskoye.

• Ore processed rose 3% to 50,527 kt, with recovery rate improving to 84.2% from 83.0% in 2023.

• Total gold output reached a record 3,002 koz, up 7% year-over-year; doré gold output increased 5% to 2,936 koz.

• Flotation concentrate output and gold contained in concentrate declined sharply by 54% and 50% year-over-year, respectively.

• ESG performance improved: non-production incidents down 41%, AARK down 44%, and no environmental incidents recorded.

Financial highlights

• Refined gold output for FY 2024 was 2,791 koz, up 17% year-over-year; 2H 2024 output was 1,457 koz, up 9% sequentially.

• Flotation concentrate production fell 54% year-over-year to 87 kt; gold in concentrate dropped 50% to 211 koz.

• Stripping ratio increased 15% year-over-year to 1.5 m³/t.

Outlook and guidance

• 2025 gold production is expected at 2.5–2.6 Moz, a decrease due to lower grades at Olimpiada as mining transitions to a new pit stage.

• Annual production is expected to remain at 2.5–2.6 Moz through 2027, with a target of 6 Moz by 2030 as new greenfield projects come online.