Update on Hong Kong Listing

27 May 2011

Kazakhmys PLC Update On Hong Kong Listing

Kazakhmys PLC ("Kazakhmys" or the "Company") announces that the Board has given final approval for the proposed listing on the Hong Kong Stock Exchange. As noted in the press release of 16 May 2011, the listing is expected to be completed by the end of June 2011.

The Board believes that issuing new shares at current share price levels would not create value for existing shareholders. The listing will, therefore, be by way of introduction and will not be accompanied by the offering of new shares. 

The Board may consider issuing some shares into the Hong Kong market at a later date, in order to assist liquidity. Any future issuance will depend upon share price levels and capital requirements, particularly as the major growth projects at Aktogay and Bozshakol move forward.

Oleg Novachuk, Chief Executive Officer of Kazakhmys PLC said: "A listing in Hong Kong is important for the strategic development of Kazakhmys and we look forward to completing this shortly. At current share price levels and with the strength of our balance sheet, it would not create value for existing shareholders to issue new shares at this time. We will continue to assess our position, as our growth projects develop and market conditions change."

For further information please contact:

REGISTERED OFFICE

6th Floor, Cardinal Place, 100 Victoria Street, London SW1E 5JL.

Kazakhmys PLC is a leading international natural resources group with significant interests in copper, gold, zinc, silver, power generation and petroleum.

It is the largest copper producer in Kazakhstan and one of the top worldwide with 17 operating mines, 10 concentrators and 2 copper smelters. Kazakhmys Copper operations are fully integrated from mining ore through to the production of finished copper cathode and rod. Total copper cathode equivalent produced in 2010 from own ore was 303 thousand tonnes. Production is backed by a captive power supply and significant rail infrastructure.

Kazakhmys Copper produces significant volumes of other metals, including zinc, silver and gold. In 2010, it produced 167 thousand tonnes of zinc in concentrate. The Group is in the top ten largest silver producers in the world (14 million ounces produced in 2010).

Kazakhmys Power has a 50% interest in the coal fired Ekibastuz GRES-1 plant, the largest in Kazakhstan with a nameplate capacity of 4,000 MW.

The Group is part of the FTSE-100 index of companies listed on the London Stock Exchange and is also listed on the Kazakhstan Stock Exchange (KASE). It had revenues of $3.2 billion in 2010 with Group EBITDA (excluding special items) of $2.8 billion. The Group employs some 61,000 people, principally in Kazakhstan. The Group's strategic aim is to optimise its current operations, deliver its major growth projects and to diversify and participate in the development of the significant natural resource opportunities in Central Asia.