Chelyabinskiy tsinkovyi zavod : Chelyabinsk Zinc Plant Holds AGM

For Immediate Release - June 27, 2017

Pavel Izbrekht, General Director of CZP, presented the annual report and CZP's financials for the year ended December 31, 2016, and Company's social and corporate policy.

The AGM approved the annual report and the financial statements of PJSC "CZP" for 2016.

The AGM voted in favor of not declaring and distributing dividends based on the results of the 2016 reporting year. Undistributed profit for 2016 at the amount of RUB 3,964,713 thousand to allocate for finance the priority projects of JSC "CZP".

The AGM voted in favor of the non-distribution of profits in the amount of 3,964,713 thousand rubles, received by PJSC "CZP" according to the results of 2016 reporting year. Dividends for 2016 fiscal year are not payable.

The Shareholders elected the Board of Directors in an amount of 7 members. The following persons were elected to the Board:

• Vladimir Belykh;

• Vladimir Bublik;

• Bronislav Gongalo;

• Pavel Izbrekht;

• Elfat Ismagilov;

• Oleg Meluhov;

• Andrey Panshin.

Also the composition of the Audit Commission in an amount of 3 members was elected. LLC "Agency "Taxes and Financial Law" and JSC "KPMG" were nominated as independent auditors of the Company; an interested party transaction in relation to the obtaining of directors and officers liability insurance for JSC CZP was adopted; the new edition of the PJSC CZP Corporate Governance Code and amendments and additions to the PJSC CZP Charter were adopted.

About Chelyabinsk Zinc Plant

Chelyabinsk Zinc Plant is the leading Russian zinc producer. In 2016 the plant produced 174,803 tonnes of saleable SHG zinc.

According to consolidated IFRS accounts, revenue in 2015 was RUB 30,347 mln and EBITDA was RUB 6,964 mln.

Ordinary shares of CZP are traded on the Moscow exchange MICEX-RTS under ticker CHZN and Global Depository Receipts (GDR) are traded on the London Stock Exchange under ticker CHZN.

Natalya Vasilieva, PR, ngv@zinc.ru