Q3 2021 PRODUCTION REPORT

KAZ MINERALS group PRODUCTION AND SALES REPORT FOR Nine MONTHS AND THE third QUARTER ENDED 30 September 2021

¹ Payable metal in concentrate and copper cathode from Aktogay oxide ore
² Payable metal in concentrate
³ Payable metal in concentrate, toll processed metal and copper cathode from Aktogay oxide ore
⁴ Payable metal in concentrate and toll processed metal

• Production highlights
  • Copper production of 223.9 kt in the nine month period to 30 September 2021 positions the Group to achieve its copper production target set at the start of the year of up to 295 kt. Copper production in the nine months decreased by 3% against the prior year period (9m 2020: 230.0 kt) as a 3% increase in ore processed was offset by lower grades processed.
    • Aktogay copper production increased by 3% to 102.3 kt (9m 2020: 99.3 kt) as sulphide ore processed rose by 6% and the plant achieved an improved recovery rate.
    • Bozshakol copper production fell by 10% to 81.6 kt (9m 2020: 90.7 kt) resulting from lower average grades and associated recovery rates, as expected.
    • East Region & Bozymchak copper production remained at 40.0 kt (9m 2020: 40.0 kt) as higher output from Bozymchak offset slightly lower grades at East Region.
  • Q3 2021 copper production decreased by 6% to 73.6 kt (Q2 2021: 77.9 kt) due to extended planned maintenance works at Aktogay and lower volumes of ore processed at East Region & Bozymchak.
  • Gold production of 126.2 koz in the year to 30 September fell by 21% (9m 2020: 160.4 koz) due to an expected reduction in grades and associated recovery rates at Bozshakol and East Region. Gold production for the full year is expected to be within the Group’s 2021 target of 160-180 koz.
• Sales summary
  • Group copper sales of 199.4 kt in the first nine months of 2021 were 11% below production as the Group continued to experience restrictions at the Kazakhstan-China border associated with enhanced Covid-19 measures, which has increased finished goods inventories. These restrictions have started to ease during Q4 2021.
  • Sales of gold and silver were also below production levels in the period mainly due to border restrictions.
  • Sales of zinc in concentrate have remained in line with production in the first nine months of 2021 as a greater proportion of material is sold within Kazakhstan.

 Andrew Southam, Chief Executive Officer, said: “KAZ Minerals has delivered strong copper production of 224 kt during the first nine months of 2021. Output was aided by higher throughput and favourable recovery rates at Aktogay which partially offset an expected reduction in grades at Bozshakol. Whilst Covid-19 restrictions at the China border have delayed some export sales, the Group continues to benefit from favourable copper market prices in 2021.”

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