Acquisition of the controlling stake in the Baksy property in Kazakhstan.

Polymetal International plc (the “Company” or “Polymetal”) has increased its interest in the Baksy property to 75% by exercising its option to buy out one of the project’s shareholders.

Polymetal announces that it has exercised its option to increase its effective interest in the Baksy project from 7.5% to 75%. State-owned JSC Kazgeology owns the remaining 25%.

“Baksy fits Company’s strategy of focusing on copper-gold assets and expanding presence in Kazakhstan. We plan to continue active exploration and expect the JORC-compliant ore reserve estimate and positive production decision in 2024”, said Vitaly Nesis, Group CEO of Polymetal International plc.

PROJECT OVERVIEW

In 2019, Polymetal acquired an indirect 7.5% interest in the project and was granted an option to increase its interest to 75% by providing exploration funding through issuing loans. During 2019-2022, Polymetal completed 20 km of diamond core drilling at the project, representing 122 holes in total, and 3,000 m³ of trenches.

The Baksy overall licence area comprises 776 km² and is located 300 km from the Polymetal-owned Varvara processing plant, in the North Kazakhstan region. The area has excellent industrial infrastructure with power lines and railway spur immediately adjacent to license boundaries.

Mineralisation is located within the external contact of a large granitic intrusion and comprises high-grade skarns as well as disseminated stockwork. Geological structure of the Baksy license area represents many characteristics typical of large-scale copper-gold deposits.

Exploration historically focused on several smaller peripheral areas with high-grade mineralization, which is typical for the immediate surroundings of large-scale disseminated mineralization. Further exploration efforts will focus on both identifying additional high-grade areas as well as testing economic potential of large-scale lower-grade central area.

The preliminary internal (non-JORC compliant) resource estimate of the prospected area is as follows: