[ferro-alloys.com]PJSC MMC Norilsk Nickel, the world’s largest refined nickel and palladium producer,

announces today preliminary consolidated production results for the first quarter 2019.

First Vice-President - Chief Operating Officer, Sergey Dyachenko commented on the

1Q19 production results:

«In 1Q 2019, we increased the output of all key metals, of which the most significant

growth was delivered in PGMs and copper. The increase in PGMs’ production was due to a release of accumulated work-in-progress inventory at Krasnoyarsk Precious Metals Refinery. The increase in copper was driven by an accelerated processing of concentrate purchased from Rostec and theramp up of Bystrinsky Project. We reiterate our metal production guidance from own Russian feed, including Bystrinsky Project, for FY2019».

In 1Q19, consolidated nickel production was up 3.4% year-on-year (y-o-y) to 56 kt. Nickel output from the Company’s own Russian feed increased 2.8% y-o-y to 55 kt. The growth was mainly attributed to the higher processed volumes of nickel matte shipped from Polar division to Kola MMC as well as a higher output of metal produced from third party feed at Norilsk Nickel Harjavalta.

In 1Q19, nickel output at Kola MMC increased 4% y-o-y to 39 kt. The growth of nickel output was attributed to increase of carbonyl nickel production at Kola MMC to 1,1 kt (+84% y-o-y) as part of strategic diversification of sales into premium products)) and higher processed volumes of nickel matte shipped from Polar division to Kola MMC.

In 1Q19, nickel production at Norilsk Nickel Harjavalta increased 2% y-o-y to 17 kt. The increase was attributed to processing of nickel feed supplied by Boliden, which entered into a three-year contract with Nornickel enabling it the most efficient utilization of Harjavalta refining capacity.

In 1Q19, Nkomati (50% - owned by Norilsk Nickel) produced 2 kt of nickel (up 29% y-o-y), 1kt of copper (up 48% y-o-y), 11 koz of palladium (up 78% y-o-y) and 4 koz of platinum (up 119% y-o-y). The increase in metals production was attributed to higher volumes of mined ore with higher metal content.

（Nornickel Official）

• [Editor:王可]