PLZL.L Regulatory News (PLZL)

20 Feb 2008 15:07

OJSC Polyus Gold20 February 2008 For immediate release Moscow, February 20, 2008 Polyus Gold signs agreement with Irkutsk region. OJSC Polyus Gold (RTS, MICEX and LSE - PLZL), Russia's leading gold producer,concluded an agreement on social and economic cooperation with Irkutsk regionaladministration. The agreement is aimed at promoting the social and economicdevelopment of Irkutsk region and at the same time supporting Polyus' strategyimplementation in the region. The administration of Irkutsk region, incooperation with the management of Polyus Gold are intending to consolidatetheir efforts to stimulate the development of the regional economy andsuccessfully implement Polyus Gold's investment projects to develop hard rockand alluvial gold deposits in the region. In accordance with the agreement, Polyus Gold will partly finance theconstruction of water supply point in Bodaibo. In 2008-2010 the company willallot 45 million rubles (approx. $1.8 million) on that project. During the sameperiod, Polyus Gold will also spend 16 million rubles (approx. $0.6 million) onvarious charitable projects in Irkutsk region. Commenting on the event the General Director of Polyus Gold Evgueni Ivanov notedthat the company is very much focused on supporting the communities in theregions of its operations. "Irkutsk region is a region of strategic importancefor Polyus Gold, that's why the prosperity of the local community, whichincludes the development of social infrastructure and attractive workingconditions, is as important for us as it is for the regional administration". In Irkutsk region Polyus gold mining assets are concentrated in Bodaibo region.Those include Zapadnoye, Verninskoye and Chertovo Koryto deposits, Eastern andWestern parts of Medvezhiy area, as well as 94 alluvial gold deposits in thebasins of Vitim, Zhuya, Bolshoy Patom and Malyi Patov rivers. One more deposit,Mukodek, is located in Mamsko-Chuiskiy area of Irkutsk region. Polyus Gold is the largest gold producer in Russia. Headquartered in Moscow,Polyus Gold's operating mines and development/exploration projects are locatedin five major gold mining regions of Russia - Krasnoyarsk, Irkutsk, Magadan,Amur regions and the Republic of Sakha (Yakutia). The company produced 1.2 m ozof gold in 2007. For further information please contactFor investors:Alexey V. Chernushkin, Director, CM and IREvguenia V.Buydina, IR manager+7(495) 641-3377+7(495) 785-4031ir@polyusgold.com For press:Victoria V. Vergelskaya, PR DirectorElena D. Evstigneeva, Media Relations+7 (495) 641-3365+7 (495) 544-5496pr@polyusgold.com This information is provided by RNS The company news service from the London Stock Exchange