Q4 2019 Production Report

KAZ MINERALS GROUP Production Report for twelve months and THE fourth QUARTER Ended 31 december 2019

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• 2019 copper production¹ increased by 6% to 311.4 kt (FY 2018: 294.7 kt)
  • Full year copper production¹ above guidance of c.300 kt, owing to outperformance at Aktogay
  • Bozshakol and Aktogay sulphide concentrators both operated at design ore throughput capacity in 2019
  • Q4 copper production¹ of 80.9 kt (Q3 2019: 82.9 kt) with strong output from all divisions
  • Full year gold production² rose by 10% to 201.5 koz (FY 2018: 183.4 koz) due to high grades at Bozshakol and Bozymchak
• Aktogay
  • Full year copper production¹ of 145.7 kt (FY 2018: 131.4 kt) exceeded guidance of 130-140 kt
  • Higher than expected ore throughput in Q4 of 6,378 kt (Q3 2019: 6,119 kt), as mill relining planned in the quarter was rescheduled to January 2020
  • Q4 copper production¹ reduced to 34.3 kt (Q3 2019: 37.3 kt), due to seasonal impact on oxide volumes and lower grades
• Bozshakol
  • Full year copper production² rose by 8% to 110.2 kt (FY 2018: 101.6 kt), in line with guidance of 105-115 kt
  • Copper production² in Q4 of 31.0 kt (Q3 2019: 32.1 kt), as higher grades offset by scheduled maintenance
  • Gold production² in 2019 of 144.8 koz (FY 2018: 127.8 koz) was above guidance of 130-140 koz due to sustained high grades
• East Region and Bozymchak
  • Full year copper production² of 55.5 kt (FY 2018: 61.7 kt), in line with guidance of c.55 kt
  • Q4 copper production² increased by 16% to 15.6 kt (Q3 2019: 13.5 kt) due to processing of stockpiled ore and higher average copper grade
  • 2019 gold and silver production² both exceeded full year guidance, with output of 53.7 koz (FY 2018: 55.0 koz) and 2,024 koz (FY 2018: 2,356 koz) respectively
  • Zinc in concentrate production of 38.3 kt (FY 2018: 49.7 kt), below guidance of 40-45 kt due to difficult geological conditions restricting mining to low grade areas

• Payable metal in concentrate and copper cathode from Aktogay oxide ore.
• Payable metal in concentrate.
• See appendix for metal production by asset.

Andrew Southam, Chief Executive Officer, said: “KAZ Minerals delivered strong operational results in the fourth quarter as our large scale, open pit assets in Kazakhstan achieved record levels of production. The main sulphide concentrators at both Bozshakol and Aktogay operated at design ore throughput in 2019 and full year copper and gold production were ahead of guidance, at 311 kt and 201 koz respectively. The Group continues to combine output growth with low unit costs and the expansion project at Aktogay will contribute additional volumes when completed in 2021.”

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