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NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN OR INTO, OR TO ANY PERSON LOCATED OR RESIDENT IN, ANY JURISDICTION WHERE IT IS UNLAWFUL TO RELEASE, PUBLISH OR DISTRIBUTE THIS ANNOUNCEMENT.

PJSC Polyus (LSE, MOEX: PLZL) («Polyus», or the «Company») highlights the announcement made by its indirect wholly-owned subsidiary Polyus Finance Plc («Issuer») earlier today on the launch of consent solicitation process («Consent Solicitation») for its outstanding U.S.$800,000,000 5.25% Guaranteed Notes due 2023, U.S.$500,000,000 4.70% Guaranteed Notes due 2024 and U.S.$700,000,000 3.25% Guaranteed Notes due 2028 («Notes»).

Capitalised terms used in this announcement but not defined herein have the meanings given to them in the Issuer’s Consent Solicitation Memorandum dated 20 July 2022 («Memorandum»).

In the Consent Solicitation the Issuer seeks the consent of the holders of the Notes to approve the amendment and waiver of certain terms of the Trust Deeds, Paying Agency Agreements and Terms and Conditions of the Notes and the replacement of the BNYM Trustee with the New Trustee in respect of the 2028 Notes.

General Conditions to the Consent Solicitation

• The conditions set forth in the Memorandum.
• To participate in the Consent Solicitation, a Noteholder should deliver a valid Consent Instruction to the Information and Tabulation Agent by no later than the Consent Deadline.
• Only Noteholders who hold the Notes as of the Record Date may submit a Consent Instruction.
• Consents shall be received from Noteholders holding at least 75% in aggregate principal amount of the then outstanding relevant series of the Notes.
• No consent fee shall be payable with respect to the Consent Solicitation.

Rationale for the Consent Solicitation

Sanctions introduced by western and certain other countries against Russian individuals and entities amid recent geopolitical events and the Russian counter sanctions have significantly disrupted the existing framework and infrastructure for delivery and settlement of securities, including the process of paying the amounts due under the Notes to the Noteholders and formal process of cancelling securities that are purchased by issuers in the market. There is a risk that due to various disruptions any payment in respect of the Notes held at the Russian securities custodians received from the Issuer or any Guarantor by the Principal Paying Agent can be blocked, delayed or frozen and, consequently, those funds will not be distributed among the Noteholders by the Principal Paying Agent. Payments of interest or principal made by the Issuer or the Guarantors for the benefit of the Noteholders may become blocked, frozen or delayed for an uncertain period of time by the Principal Paying Agent, the Clearing Systems or other entities processing those payments.

Therefore, the Issuer seeks the consent of the Noteholders to amend the terms of the Trust Deeds and the Paying Agency Agreements to (a) allow direct payments of principal and interest accrued under the Notes held at the Russian securities custodians, (b) provide that payments in respect of such Notes will be made in Russian roubles only (save that the Issuer will retain the discretion to make payments in U.S. dollars to certain Noteholders in its sole discretion) using the official exchange rate of the Central Bank of Russia effective as of the relevant payment date, and © provide that payments in respect of all Notes may be made in an alternative currency, including Euro, Sterling, Swiss franc, or the Russian rouble (with the Russian rouble being used as the currency of last resort) in the event of the Issuer’s inability to pay the sums due in U.S. dollars, at an exchange rate specified in the Terms and Conditions of the Notes.

The Issuer is also soliciting consents of the Noteholders to extend the grace period during which a failure to make payments in respect of the Notes on an Interest Payment Date, the Maturity Date or the Repayment Date (as such terms are defined in the Terms and Conditions of the relevant series of the Notes), as applicable, can be remedied without causing an Event of Default, from five business days (in case of payments of principal) and 10 business days (in case of payments of interest or other amounts) to 30 business days. Although the Group expects to make the next interest payment when due, the Group wishes to extend the grace period to avoid a technical Event of Default for a delay in making such payment caused by operational or technical disruptions, as well as legal restrictions that may affect wire transfers and cause instability in the operations of the banking sector.

Additionally, the Issuer is seeking to amend certain operative provisions of the Trust Deeds and the Terms and Conditions of the Notes to enable cancellation of the Notes that may be purchased by the Group, which has become limited by current restrictions. Given that the Terms and Conditions already provide for the ability to cancel purchased Notes, the Issuer believes that the amendments relating to deemed cancellation do not affect the rights and interests of Noteholders. In particular, to enable cancellation of the Notes the Group is proposing that such Notes may be designated by the Issuer or any member of the Group as Notes deemed cancelled (the «Designated Notes»), and that no interest shall accrue on, and no principal amount shall be payable in respect of, the Designated Notes, from (and including) the date of such designation (the «Designation Date»), and such Notes shall not be deemed to be outstanding for purposes of the Trust Deeds and the Notes. Accordingly, neither the Issuer nor any Guarantor will be liable to pay any amounts on any Designated Notes from (and including) any Designation Date, and none of the members of the Group will be required to deliver any Designated Notes to the Trustees, Principal Paying Agent, Registrar (as such term is defined in the relevant Paying Agency Agreements), common depositary or any Clearing System for their cancellation.

Additionally, under the terms of the 2023 Trust Deed and the 2024 Trust Deed, the Issuer must maintain the listing of the 2023 Notes and the 2024 Notes, respectively, on the London Stock Exchange or any other recognised stock exchange, provided it is a regulated market under Directive 2004/29/EC. Some stock exchanges in the EU have recently revoked listing of the debt instruments associated with Russia related businesses. Although the London Stock Exchange, where the 2023 Notes and the 2024 Notes are currently listed, has not yet taken such a step, the Issuer cannot rule out that similar decision could be made by the London Stock Exchange in respect of the 2023 Notes and the 2024 Notes in the future. In this Consent Solicitation, the Issuer seeks the consent of the Noteholders to amend the terms of the 2023 Trust Deed and the 2024 Trust Deed to allow the 2023 Notes and the 2024 Notes to be listed or admitted to trading on any stock exchange, provided such stock exchange is commonly used for the listing and trading of debt securities in the international bond markets.

Finally, the BNYM Trustee informed the Issuer on 9 May 2022 of its inability to continue acting as trustee in relation to the 2028 Notes. To ensure that investors are able to benefit from having a trustee that is able to act in the interests of the Noteholders, the Issuer is soliciting consents of the Noteholders to replace the BNYM Trustee with the New Trustee in respect of the 2028 Notes.