Squeeze-out notice received

Squeeze-out notice received

Saint-Petersburg, Russia, April 20, 2012 - JSC "Polymetal" (MICEX-RTS: PMTL) ("Polymetal" or the "Company") announces that on April 19, 2012, it received a demand notice from PMTL Holding Limited ("PMTL") to acquire remaining ordinary shares in Polymetal (the "Shares") (the "Squeeze-Out Notice") in accordance with Clause 84.8 of the Russian Federal Law No. 208-FZ "On Joint Stock Companies" dated 26 December 1995.

The price in the Squeeze-Out Notice is RUB 531.15 per one Share. Under the terms of the Squeeze-Out Notice, 18 June 2012 is set as the record date (the "Record Date") to prepare the list of all shareholders whose Shares will be acquired by PMTL. Payments for Shares to their holders will be made by PMTL within 25 calendar days after the Record Date. Holders of Shares may deliver their applications with correct and complete payment details for such payments (the "Applications") to PMTL at the following address: prospect Narodnogo Opolcheniya 2, St. Petersburg, 198216, Russia. In order for the Applications to be validly accepted they should be received by PMTL in original execution form (no facsimile or email copies may be accepted) on or before 18 June 2012.

Payments to the holders of Shares as of the Record Date whose Applications will not be received by PMTL or whose payment details under the Applications are not correct or accurate, will be deposited by PMTL with a Russian notary in accordance with the Squeeze-Out Notice and Russian law.

The full text of the Squeeze-Out Notice document and information on the Russian notary, including its address and telephone number, are available on the Company's web-site at http://www.polymetal.ru.

The Company has also decided to extend the Squeeze-Out Notice to the holders of Polymetal global depositary receipts ("GDRs") under the terms and conditions to be further circulated by Deutsche Bank Trust Company Americas, the depositary bank in respect of Polymetal's GDRs.

In case the holders of Polymetal GDRs would like to sell the Shares underlying their GDRs directly, they would need to convert their GDRs into ordinary shares of Polymetal in accordance with applicable terms and procedures under the existing GDR programme before the Record Date.

THIS RELEASE may INCLUDE STATEMENTS THAT ARE, OR MAY BE DEEMED TO BE, "FORWARD-LOOKING STATEMENTS". THESE FORWARD-LOOKING STATEMENTS SPEAK ONLY AS AT THE DATE OF THIS RELEASE. THESE FORWARD-LOOKING STATEMENTS CAN BE IDENTIFIED BY THE USE OF FORWARD-LOOKING TERMINOLOGY, INCLUDING THE WORDS "TARGETS", "BELIEVES", "EXPECTS", "AIMS", "INTENDS", "WILL", "MAY", "ANTICIPATES", "WOULD", "COULD" OR "SHOULD" OR SIMILAR EXPRESSIONS OR, IN EACH CASE THEIR NEGATIVE OR OTHER VARIATIONS OR BY DISCUSSION OF STRATEGIES, PLANS, OBJECTIVES, GOALS, FUTURE EVENTS OR INTENTIONS. THESE FORWARD-LOOKING STATEMENTS ALL INCLUDE MATTERS THAT ARE NOT HISTORICAL FACTS. BY THEIR NATURE, SUCH FORWARD-LOOKING STATEMENTS INVOLVE KNOWN AND UNKNOWN RISKS, UNCERTAINTIES AND OTHER IMPORTANT FACTORS BEYOND THE COMPANY'S CONTROL THAT COULD CAUSE THE ACTUAL RESULTS, PERFORMANCE OR ACHIEVEMENTS OF THE COMPANY TO BE MATERIALLY DIFFERENT FROM FUTURE RESULTS, PERFORMANCE OR ACHIEVEMENTS EXPRESSED OR IMPLIED BY SUCH FORWARD-LOOKING STATEMENTS. SUCH FORWARD-LOOKING STATEMENTS ARE BASED ON NUMEROUS ASSUMPTIONS REGARDING THE COMPANY'S PRESENT AND FUTURE BUSINESS STRATEGIES AND THE ENVIRONMENT IN WHICH THE COMPANY WILL OPERATE IN THE FUTURE. FORWARD-LOOKING STATEMENTS ARE NOT GUARANTEES OF FUTURE PERFORMANCE. THERE ARE MANY FACTORS THAT COULD CAUSE THE COMPANY'S ACTUAL RESULTS, PERFORMANCE OR ACHIEVEMENTS TO DIFFER MATERIALLY FROM THOSE EXPRESSED IN SUCH FORWARD-LOOKING STATEMENTS. THE COMPANY EXPRESSLY DISCLAIMS ANY OBLIGATION OR UNDERTAKING TO DISSEMINATE ANY UPDATES OR REVISIONS TO ANY FORWARD-LOOKING STATEMENTS CONTAINED HEREIN TO REFLECT ANY CHANGE IN THE COMPANY'S EXPECTATIONS WITH REGARD THERETO OR ANY CHANGE IN EVENTS, CONDITIONS OR CIRCUMSTANCES ON WHICH ANY SUCH STATEMENTS ARE BASED