PETROPAVLOVSK PLC · Centamin. Acacia. Endeavour Mining. Source: Company data, Bloomberg, companies’ annual reports (1) Calculated as 2018 P&P Reserves divided by annual production

PETROPAVLOVSK PLCInvestor PresentationJuly 2019

2

Cautionary and forward-looking statements

— Some statements contained in this presentation or in documents referred to in it are or may be forward-looking statements, including references to guidance. Such statements reflect the Company’s current views with respect to future events and are subject to risks, assumptions, uncertainties and other factors beyond the Company’s control that could cause actual results to differ from those expressed in such statements. Although the Company believes that such forward-looking statements, which speak only as of the date of this presentation, are reasonable, no assurance can be given that they will prove to be correct. Therefore, you should not place undue reliance on these statements

— There can be no assurance that the results and events contemplated by the forward-looking statements contained in this presentation will, in fact, occur. The Company will not undertake any obligation to release publicly any revisions to these forward-looking statements to reflect events, circumstances or unanticipated events occurring after the date of this presentation, except as required by law or by any appropriate regulatory authority. Nothing in this presentation or in documents referred to in it should be considered as a profit forecast.

— The past performance of the Company and its securities is not, and should not be relied on as, a guide to the future performance of the Company and its securities

— This presentation does not constitute, or form part of or contain any invitation, recommendation or offer to any person to underwrite, subscribe for, buy, sell, otherwise acquire, exchange or dispose of any shares or securities in the Company or advise persons to do so in any jurisdiction, including, but not limited to, the Russian Federation, nor shall it, or any part of it, form the basis of or be relied on in any connection with or act as an inducement to enter into any contract or commitment therefore or engage in any other investment activity. In particular, this presentation and the information contained herein are not an offer of securities for sale in the United States. This presentation does not constitute an advertisement of any securities in the Russian Federation

— No reliance may be placed for any purpose whatsoever on the information or opinions contained in this presentation or on its completeness and no liability whatsoever is accepted for any loss howsoever arising from any use of this presentation or its contents or otherwise in connection therewith.

— The development and production plans and estimates set out herein represent the current views of the Company's management. The Company’s Board reviews the production estimates on an ongoing basis. All planning is subject, inter alia, to available funding and capital allocation decisions

— English law and English courts will have exclusive jurisdiction over any disputes arising from or connected with this presentation

33

Company Overview

33

4

qwasVertically integrated gold mining business, operating throughout the entire cycle, from licenceacquisition to production

One of the leading gold mining companies in Russia

(1) As at 31 Dec 2018, incl. gold produced by our alluvial operations and JVs (2) As at 31 Dec 2018, in accordance with the JORC Code. Resources (M,I&I) are incl. of Reserves(3) Market capitalisation of IRC Ltd as at 18 June 2019 = US$189.5m, Petropavlovsk’s 31.1% holding on a mark to market basis = US$58.9m

over 7.1Moz AuProduced to date(1)

20.5Moz of JORC Resources(2)

incl. 8.2Moz of Reserves

c.450 - 500KozFY 2019 gold

production guidance

c.14MtpaRIP processing capacity

3x gold minesMix of open pit + underground

over 2,600km2

Total licence area

Pressure Oxidation (POX) HubSuccessfully commissioned Q4 2018

US$500mRevenue 2018

US$143mEBITDA 2018

29%EBITDA margin 2018

786 US$/oz Total cash costs 2018

1,117 US$/ozAll-in sustaining costs 2018

31% equity interest in IRC Ltd.A low cost Hong Kong listed premium iron ore

producer(3)

c.US$385mMarket cap

5

Investment highlights

Highly efficient mining + processing operations2

Strategic location and access to developed infrastructure3

Potential to grow production via refractory ore processing at the newly launchedPressure Oxidation (POX) Hub

4

Exploitable + long life mineral resource base with high expansion potential6

Strong track record of mine development, expansion + asset optimisation5

One of the major gold mining companies in Russia 1

Experienced management team + skilled workforce, in-house technical expertise and R&D facilities

7

6

Proven track record of execution from exploration and development to mining and processing

Malomir

— One of the largest gold mines in Russia in terms of mineral resources(3)

— Acquired as a greenfield in 2003. Licence area of c.75km2

— RIP plant throughput: 3.0Mtpa, commissioned 2010— Flotation plant with current stage I capacity of 3.6Mtpa launched H2 2018— Stage 2 (planned for 2021) will increase capacity to 5.4Mtpa via addition of third 1.8Mtpa line

— Petropavlovsk is one of Russia’s major gold mining companies with assets located in the Amur region, the Russian Far East

— Founded in 1994, accounted for c.6% of Russia’s total gold production in 2018— Total JORC Resources 20.5Moz(1) including 8.2Moz of Reserves— Petropavlovsk has 4 production sites, including the technically advanced Pressure Oxidation

(POX) Hub, launched in Q4 2018— In 2018, produced 422Koz of gold, generating US$500m of revenue and US$143m of EBITDA— The company holds a 31% share in IRC Ltd, a Hong Kong listed premium grade iron ore

producer (US$189.5m market cap(2))— After listing on AIM in 2002, Petropavlovsk moved to the Main Market of the LSE in 2009

Top 5 Russian gold miner with one of only two pressure oxidation plants

Mining + Production Facilities JORC Resources(1)

97% 3%Category 1

Pioneer— One of Russia’s largest gold mines in terms of processing capacity— Acquired as a greenfield in 2001. Licence area of c.1,300km2

— Expected >15 year life of mine with c.2.6Moz produced to date— RIP plant throughput: 6.7Mtpa, commissioned 2007

76% 24%Category 1

Albyn— The Group’s newest mine with an expected >15 year mine life— Acquired in 2005 as a greenfield asset. Licence area of 1,053km2

— RIP plant throughput: 4.7Mtpa, commissioned 2011

Pokrovskiy— Mining has exhausted reserves, with the site converted to host the Pressure Oxidation (POX)

Hub and supporting infrastructure— Historically has produced c.2.0Moz of gold

21% 79%Category 1 5.4Moz

100%Category 1 0.9Moz Refractory ResourcesNon-Refractory Resources

6.9Moz

5.9Moz

(1)Total JORC Resources as at 31 Dec 2018, in accordance with JORC Code. Resources (M,I&I) are inclusive of Reserves. Total JORC Resources also include Tokur asset with Resources of 1.4Moz. For full details and asset by asset breakdown please refer to the 2018 Petropavlovsk annual report(2) As at 18 June 2019 (3) Based on management estimates

Polyus, 35%Polymetal, 14%

Kinross Gold, 7%

Uzhuralzoloto, 7%

Petropavlovsk, 6%Other, 32%

Brief overview FY 2018 Russian gold mine production

Source: Russian Union of gold producers

7

Gold mining business supported by a range of complementary in-house service companies

Strategic location and access to developed infrastructure

St Petersburg RDC Hydrometallurgy

MoscowPetropavlovsk Moscow PHM Engineering

Amur region assetsPioneerAlbynMalomirPokrovskiy

BlagoveschenskPetropavlovsk Amur RegionRegis ExplorationKapstroi Construction

IrkutskIrgiredmet Institute

IRC Ltd. (associate company)Amur region – Kuranakh mineJewish autonomous region – K&S mine

LondonPetropavlovsk plcCorporate headquarters

Operating mineUnderground mine

POX

Analytical labsR&DOffices

8

Well positioned within the industry in terms of gold reserves and average mine life

Exploitable and long life mineral resource base with high expansion potential

2418 17 15

8 7 7 6 5

Polyus Polymetal IAMGOLD Eldorado Gold Nordgold Petropavlovsk Centamin EndeavourMining

Highland Gold Acacia

64c.20.5Moz of JORC Resources,

of which c.8.2Moz are JORC Reserves(refractory + non-refractory)

Exploration work suggests potential for the discovery of additional resources

P&P Reserves (2018)

Average mine life(1)

49

2621 20 19 17 15 15

10 9

Eldorado Gold Polyus Highland Gold IAMGOLD Petropavlovsk Nordgold Polymetal Centamin Acacia EndeavourMining

Source: Company data, Bloomberg, companies’ annual reports(1) Calculated as 2018 P&P Reserves divided by annual production in 2018

In Moz

Years

9

15%

14%

57%

14%

Non-Executive Chairman (1)Non-Executive Directors (1)Independent Non-Executive Directors (4)Executive directors (1)

Strong corporate governance supported by an experienced Board…

BoD structure Board of Directors

Mr Bektas Mukazhanov

Mr Harry Kenyon-Slaney

Mr Robert Jenkins

Mr Damien Hackett

Mr James W Cameron Jr

Dr Pavel Maslovskiy

Inde

pend

ent N

on-e

xecu

tive

Dire

ctors

Sir Roderic Lyne

Non-

ex.

Chair

man

CEO

Dr Pavel Maslovskiy (N) (S) (E*)

Chief Executive Officer Re-appointed in June 2018 Сo-founded the Company in 1994 CEO of Petropavlovsk 1994-2011 (when

acted as Senator-Member to Federation Council) and again 2014-2017

Sir Roderic Lyne (N*)

Non-Executive Chairman Re-appointed as Chairman following June

2018 AGM Previously was a Non-Ex. Director of Aricom

PLC Served as British Ambassador to Russia

from Jan 2000 until Aug 2004

Mr James W Cameron Jr (A) (R)

Appointed October 2018 Formerly Founder, CEO + Chairman of

Occupational Urgent Care Systems Extensive experience, providing expertise

and consulting services for companies in Russia and the former USSR

Mr Damien Hackett (N) (A) (R) (S)

Appointed October 2018 Mr Hackett is Chairman of UrAmerica Has 26 years critical research experience

covering globally diverse mining companies Former Vice Chairman Mining Advisory at

Canaccord Genuity

Mr Bektas Mukazhanov(S)

Re-appointed July 2018 Investment Advisor at Fincraft Holdings, a

major Petropavlovsk shareholder (22.4%) Member of the Safety, Sustainability and

Workforce Committee

Mr Robert Jenkins(A*) (R*) (N)

Re-appointed June 2018 25 years of Russia-related investment /

natural resources experience Previously CFO of two Russia-focused

natural resources companies Formerly held Board appointments with

Ruspetro PLC and Toledo Mining PLC

Mr Harry Kenyon-Slaney (S*) (A) (N)

Appointed November 2018 and became Senior Independent Director April 2019 Currently holds positions of Non-Ex.

Chairman of Gem Diamonds, Non-Ex. Director of Sibanye Gold 33 years experience, principally with Rio

Tinto

Non-

exec

utive

Di

recto

r

7Directors

– Effective corporate governance with focus on sustainable value creation for all stakeholders – 4 committees in place with Remuneration and Audit Committees consisting of Independent Non-executive

Directors only

(S) Member of the Safety, Sustainability and Workforce Committee(N) Member of the Nominations Committee

(A) Member of the Audit Committee

Board fully compliant with the UK Corporate Governance Code

(R) Member of the Remuneration Committee* Denotes role of Chairman of the Committee(E) Member of the Executive Committee

BoD breakdown

10

…and highly experienced management team

Dr Pavel Maslovskiy (CEO) is one of the Group’s co-founders and a key initiator of the POX Hub project(successfully launched Q4 2018)

Dr Pavel MaslovskiyCEO

Dr Alya SamokhvalovaDeputy CEO

Alexey DubyninCFO

Sergey ErmolenkoGeneral Director MC

PetropavlovskNikolai Vlasov

Group Chief GeologistMikhail Safray

Senior Legal Adviser

11

Kenges Rakishev(via Fincraft Holdings Ltd

& VTB Bank)22.4%

Sothic Capital10.9%

Prosperity Capital9.3%

DE Shaw & Co7.5%

Slevin Ltd4.6%Everest Alliance Ltd

4.6%

RCB Bank4.4%

Hargreaves Lansdown Asset Mgt2.4%

Dimensional Fund Advisors2.1%

Canaccord Genuity Wealth Mgt1.9%

Legal & General Investment Mgt1.9%

Interactive Investor1.6%

VTB Capital1.3%

Other25.4%

Price Vols

Premium listing on the London Stock Exchange

Shareholder structure (as at 10 July 2019)Share price, gold price, FX(1)

Share Price and Trading Volumes(1)

0m

10m

20m

30m

40m

50m

5p

6p

7p

8p

9p

10p

11p

Jul 2018 Oct 2018 Jan 2019 Apr 2019 Jul 2019

Price (GBP, pence) 9.84p52 Week Range 5.15p – 9.99pAvg. Daily Vol (12m) 3,284,936Shares outstanding 3,310,210,281Market Cap. £324.4m (US$407.5m) EV £779.2m (US$984.2m)

Gold PM Fix $1,408/oz52 Week Range US$1,178/oz - US$1,431/oz

USD:RUB FX 63.0052 Week Range 62.10 – 70.52

(1) As at 10 July 2019

Operational Performance

13

2018 performance in line with guidance. A healthy start to 2019 with c.25% of output attributable to the processing of refractory ore via POX

Key operational performance: FY 2018 + Q1 2019

— Resources of 20.5Moz Au with Reserves of 8.2Moz Au— Reserves increased by 0.6Moz despite depletion to 8.2Moz due to new discoveries at Pioneer + Malomir— Commissioning of POX Hub + Malomir flotation plant unlocks value embedded in c.5.3Moz of refractory Reserves

and significantly increases optionality of the Group to process own refractory ores or treat 3rd party material

Resource additions and unlocking the value

embedded in refractory ore

— 2018 production of 422Koz Au (incl. 52Koz of gold in high-grade refractory concentrate produced by the new Malomir flotation plant), in line with guidance

— Q1 2019 production of 108Koz, with 28Koz of refractory gold processed via the POX Hub— Strong contribution from Malomir underground, with grades in excess of 8g/t

Productionin line with guidance

Malomir— Following flotation plant commissioning, c.46Kt of high-grade refractory concentrate was produced in 2018 (at

c.36g/t), ready for POX processing— At the moment the flotation plant produces refractory concentrate with improved parameters:

— Successful test work carried out on concentrate from lower grade ores: 87% recovery + better concentrate yields than design (2.8% vs. 5.5%) = lower TCC

— c.29Kt of concentrate at 28g/t containing 26Koz of gold stockpiled for processingPOX Hub— Autoclaves 1 + 2 commissioned in Q4 2018, ahead of schedule (first gold poured Dec 2018)— In Q1 2019, autoclaves 3 + 4 tested + shown to be fully-functioning. Ready to begin operating at full capacity once

supply of 3rd party concentrate secured— c.32Kt of high-grade concentrate at 32g/t processed via POX Hub in Q1 2019 — POX recoveries reached 91% in March, targeting 94% in H2 2019— 3rd party concentrate from two different sources successfully trialed in Q1 2019. 2x batches of concentrate

secured, incl. 17Kt at 65g/t – 75g/t + 20Kt at 40g/t – 60g/t

Malomir flotation + POX Hub successfully

commissioned

— New gold pre-pay agreement for c.175Koz signed— New IRC loan facility with Gazprombank on better terms— Petropavlovsk has received c.US$57m as full repayment for 2 x bridge loans advanced to IRC in 2018

Balance sheet strengthened

14

Q1 2019 operational reviewStrong performance let down by water issues at Pioneer(1) – we remain on track to meet 2019 guidance

Malomir production above budget

— Non-refractory ore via RIP: gold recoveries exceeded budget by 6.2Koz due to larger quantity of high-grade ore mined from underground + higher recoveries

— Flotation: 25Kt of concentrate produced at avg. grade of 23g/t

— POX Hub: 32Kt of concentrate processed at avg. grade of 32g/t, with 2.8Koz of metal produced above quarterly budget

Albyn production above budget

— c.200Kt of ore at 1.2g/t was mined above budget, resulting in 4.3Koz of production above plan

Pioneer production below budget

— Underground delays caused by persistence of water inflow + lower grade material from open pit(2)

— Production 6.7Koz below budget

Company remains on course to meet FY2019 guidance of 450 – 500Koz, excluding potential upside from the processing of third-party refractory gold concentrate

Albyn41Koz (38%)

Malomir (incl. POX)

Pioneer22Koz(20%)

45Koz (41%)

Total production

108Koz

Q1 2019 Au production by mine(2) Q1 2019 production highlights

(1) At Pioneer, all water has been pumped out of the mine, cement backfill has been implemented and pump size increased(2) Percentages may not add up due to rounding

15

Proven track record of Resource growthAs at 31 Dec 2018, Group Reserves & Resources totalled 20.5Moz, with Reserves of 8.2Moz

Depletion + DisposalsRefractory Resources

6.8 5.2

13.0 12.8 12.1 12.0 9.3 9.3 9.3 9.612.3

2.1 6.0

10.1 12.3 11.7 13.814.0 14.4

10.4 11.2 8.2

1.4 1.9 2.4 3.8 5.1 5.9 6.6 7.211.2 11.7 12.5

2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

Non-Refractory Resources

— Following successful POX commissioning, some transitional Reserves and Resources suitable for RIP or refractory processing, werereclassified from non-refractory to refractory

— As a result, and due to the success of 2018 exploration campaign, total refractory Resources increased by 2.7Moz to 12.3Moz

— There was a corresponding decrease in non-refractory Resources from 11.2Moz to 8.2Moz (this change also reflects mine depletion / disposals)

16

Mine by mine JORC Resource breakdownNew Resources at Pioneer, Albyn, Malomir + Pokrovskiy

Malomir Pioneer Albyn Pokrovskiy

Refractory ResourcesNon-refractory Resources

6.7Moz97%

0.2Moz3%

1.4Moz24%

1.1Moz21%

4.5Moz76%

4.2Moz79%

0.9Moz100%

6.9Moz 5.9Moz 5.3Moz 0.9Moz

Total JORC Resources (as at 31/12/2018)

20.5Moz(1)8.2Moz40%

12.3Moz60%

Decrease due to disposals + sterilisation

due at POX facility

Albyn main ore body + Unglichikanskoye

KatrinNikolaevskyaUlunginskaya

RIP tailings for reprocessing via

flotation + POX and Quartzitovoye

New Resources -explanation

(1)Total JORC Resources include Tokur asset, not shown in the split below. Tokur contains non-refractory Resources of 1.4Moz. For full details please refer to the 2018 Petropavlovsk AR

17

One of the Company’s flagship assets with significant exploration potential

Pioneer site overview

Overview Highlights

Units 2016 2017 2018Segment revenue US$m 165 203 172Total cash costs per oz of gold US$/oz 631 791 799All-in sustaining costs US$/oz 789 1,029 1,294CAPEX US$m 14 44 50Gold production Koz 142 162 135Reserves: Moz 2.6 2.9 2.8

- non-refractory Moz 1.2 1.3 0.7- refractory Moz 1.5 1.7 2.2

Resources: 5.5 6.1 5.9- non-refractory Moz 2.4 2.6 1.4- refractory Moz 3.1 3.5 4.5

Average number of employees 1,658 1,670 2,711

32%

1,337 km2

total gold licencearea

19 yearsmine life

2.6Mozgold produced to date

% of total Group’s production

135Kozgold produced in 2018

5.9Moztotal mineral Resources incl.

2.8Moz ore Reserves

GeographyKey characteristics

– Petropavlovsk’s flagship asset with the most significant exploration potential– Acquired as a greenfield in 2001– Total licence area of 1,337km2

– Сontains 5 licences covering multiple ore bodies, including both non-refractory + refractory ore

– Non-refractory ore is processed at the 6.7Mtpa RIP plant, which operatesthroughout the year

– Low-grade non-refractory ore (<0.5g/t) is processed via a seasonal, heap leachoperations

– The new POX Hub Pokrovskiy (c.40km south of Pioneer) enables gold production via the processing of refractory ores

– Construction of a new floating facility at Pioneer is scheduled for 2023 – In 2019 production is expected to be marginally lower at 129Koz due to scheduled

decline in processing grades

Source: Company’s Annual report for 2018

Lime depositAnalytical lab

Open-pit mineUnderground mine

Hydro plantCore assetsPokrovskiy POX hub Blagoveshchensk

(1) The Pioneer flotation plant is currently scheduled to become operational from 2023, but the Board is considering acceleratingthis to H2 2020

18

Company’s largest mine in terms of non-refractory resources and gold produced in 2018

Albyn site overview

Overview Highlights

Units 2016 2017 2018Segment revenue US$m 211 229 189Total cash costs per oz of gold US$/oz 581 541 747All-in sustaining costs US$/oz 719 718 974CAPEX US$m 7 10 15Gold production Koz 174 182 151Reserves: Moz 2.1 2.3 2.3

- non-refractory Moz 2.1 2.3 1.9- refractory Moz 0.0 0.0 0.4

Resources: 4.8 5.0 5.4- non-refractory Moz 4.8 5.0 4.2- refractory Moz - - 1.2

Average number of employees 1,450 1,535 1,485

36%

1,053km2


18 yearsmine life



151Kozgold produced in 2018


2.3Moz ore Reserves

– Petropavlovsk’s largest producing mine with 151Koz of gold produced in 2018– Acquired as a greenfield in 2005– Total licence area of 1,053km2

– Consists of 3 adjoining licences covering multiple ore bodies within 4 key deposits: Albyn, Elginskoye, Unglichikan and Afanasevskoye

– Has potential exploration targets, among which Ulgen, Yasnoye + Leninskoye are the most significant

– The Group operates its own mining fleet at Albyn– Major part of the Reserves is non-refractory and can be treated at the 4.7Mtpa RIP

plant, which operates throughout the year– The RIP plant comprises of 2 x 1.8Mtpa grinding lines, commissioned 2011– In 2019 Albyn production is expected to be marginally higher due to slight increase

in plant throughput

GeographyKey characteristics

Source: Company’s Annual report for 2018




19

18%(1)

Gold mine and modern flotation plant

Malomir site overview

Geography

Overview– One of the largest gold mines in Russia in terms of its resource base– Acquired as a greenfield in 2003– Total licence area of 74.5km2

– Includes multiple ore bodies, of which he most significant are Malomir, Quartzitovoye, Ozhidaemoye, Magnetitovoye

– Mining operations at Malomir are carried out both via open pit + underground– RIP plant throughput of 3.0Mtpa, commissioned 2010Flotation plant

– Converts refractory ore into high-grade flotation concentrate, which is sent to the POX hub for further processing

– Launched Q4 2018– Current processing capacity: 3.6Mtpa (2 x 1.8Mtpa processing lines)– Final design capacity: 5.4Mtpa resulting in production of c.300Ktpa of flotation

concentrate (construction of additional 1 x 1.8Mtpa line scheduled 2021)– Malomir gold production is expected to increase to 190Koz in 2019 (c.36oz of this

will be extracted from refractory gold concentrate stock)

Key characteristics

Highlights

74.5km2



2.9Moz ore Reserves

18 yearsmine life



78Koz(1)

gold produced in 2018

Units 2016 2017 2018Segment revenue US$m 67 83 102Total cash costs per oz of gold US$/oz 824 929 791All-in sustaining costs US$/oz 1,004 1,278 1,058CAPEX US$m 3 30 60Gold production Koz 55 66 78(1)

Reserves: Moz 3.0 2.7 2.9- non-refractory Moz 0.4 0.3 0.1- refractory Moz 2.6 2.5 2.7

Resources: 7.1 7.1 6.9- non-refractory Moz 0.9 0.9 0.2- refractory Moz 6.1 6.2 6.7

Average number of employees 926 1,021 1,138Lime depositAnalytical lab



Source: Company’s Annual report for 2018. (1) Production volume doesn't include 52.1Koz of gold in concentrate produced in 2018

20

Cornerstone of the Company’s strategy and one of the principal drivers of its future value

Pokrovskiy Pressure Oxidation (POX) Hub

Overview

Geography

Concentrate characteristics

External view of the POX Hub complex Autoclaves

Malomir concentrate Pioneer concentrate

86%recovery

2.8-4.2%yield concentrate

20-40%Sulphur content

20-40 g/tAu grade

82%recovery

2.9%yield concentrate

c.21%Sulphur content

20-30 g/tAu grade




(1) Second stage expansion will increase capacity to 5.4Mtpa (2) Pioneer flotation plant is currently scheduled to become operational from 2023, but the Board is considering accelerating its development

– The POX project includes flotation plants at Malomir (3.6Mtpa(1) commissioned in 2018) + Pioneer (6.0Mtpa commissioning scheduled(2) 2023) + a Pressure Oxidation facility at Pokrovskiy

– The POX Hub is the largest pressure oxidation facility in Russia in terms of capacity and one of only two POX plants in Russia

– Successfully commissioned in Q4 2018, following a decade of R&D / construction– Will allow the processing of 12.3Moz of the Company’s refractory gold Resources

(incl. 5.3Moz of Reserves)Technical characteristics

– Operates at 3,500kPa pressure + temperature of 225oC, which is higher than most other operating POX plants, enabling more efficient recovery

– 4 x autoclaves (15m x 4m, each with a volume of 66m3) with total ore processing capacity up to 500ktpa of concentrate (depending on properties of the concentrate)

– Potential to expand further via the addition of 2 more autoclave vessels– Pressure Oxidation (POX) method of refractory processing is more efficient in terms

of gold recovery and more environmentally-friendly compared to other refractory processing options. It is commonly used by the major global gold companies

21

– Commissioned Q4 2018

– 32Kt of concentrate processed at avg. c.32g/t in Q1 2019

– Tested in Q1 2019 + fully-functioning

– Ready to start once 3rd

party concentrate secured

200 - 250Ktpa(1)

2019 plans— Autoclaves 1 + 2(2) to treat:

— Malomir concentrates: 125Kt –145Kt at 29g/t – 32g/t— Malomir stockpiles: 29Kt at 28.2g/t— 3rd party concentrates: 37Kt at 40-75g/t (2 sources)

2020 plans (may include 2 new flotation lines at Pioneer)(3)

— Autoclaves 1 - 4 to treat: — Malomir concentrates: 125Kt –145Kt at 29g/t – 32g/t— Pioneer concentrates: c.30Ktpa from Pioneer (at

c.23% sulphur) available from Q3 2020— 3rd party concentrates: up to 200Kt (4-5 sources)

Mid term (includes 1 new flotation line at Malomir 2021)— Malomir concentrates: 200Ktpa of concentrate (at

27% sulphur)— Pioneer concentrates: 240Ktpa from Pioneer (at 23%

sulphur) from 2023

Autoclaves 1 + 2(2) Autoclaves 3 + 4(2)

Malomir concentrate

Malomir 2018 concentrate stockpiles 3rd party concentrate

(1) POX operating capacity is largely determined by the level of sulphides, which affects oxygen consumption and therefore processing volumes, hence it is shown as a range with total potential for up to 500Kt

(2) Concentrates from each source may not strictly be treated in the autoclaves numbered here due to timed maintenance shutdowns + switching of concentrate between autoclaves

(3) The Pioneer flotation plant is currently scheduled to become operational from 2023, but the Board is considering accelerating this to H2 2020

2019

2020

LT

Pioneer concentrate

0%

100%

200 - 250Ktpa(1)

2019

2020

LT

0%

100%

50% 50%

POX Hub: the path to reaching its full potentialTotal installed capacity of up to 500Ktpa(1) with potential for expansion

Financial Results

23

Performance impacted by scheduled inventory build and sub-optimal H1 2018

FY 2018 financial results overview

Units 2018 2017 Change

Gold production Koz 422.3 439.6 (4%)

Gold sold Koz 369.6 439.8 (16%)

Avg. realised gold price US$/oz 1,263 1,262 0%

Group revenue US$m 499.8 587.4 (15%)

Total cash costs (TCC) US$/oz 786 741 +6%

All-in sustaining costs (AISC) US$/oz 1,117 963 +16%

Underlying EBITDA US$m 143.0 196.8 (27%)

Operating profit US$m 126.6 100.4 +26%

Profit before tax US$m 82.4 48.9 +69%

Profit for the period US$m 25.9 37.1 (30%)

Net cash from operating activities US$m 217.2 124.0 +75%

Net debt (as at 31 Dec) US$m (568.0) (585.1) (3%)

Development capex US$m 112.8 66.2 +70%

Exploration CAPEX US$m 21.6 21.9 (1%)

(1)

(1) Incl. c.52Koz of gold contained in high-grade refractory concentrate produced by the Malomir flotation plant

24

741 786

12348 3 0.2 91

39

TCC

FY20

17

High

er c

osts

Defe

rred

strip

ping

Oth

er ta

xes

Co-p

rodu

ct e

ffect

Chan

ges i

n gr

ades

/re

cove

ries

FX

TCC

FY20

18

FY 2018 total cash costs (TCC)Total cash costs (TCC) within guided range of US$750/oz – US$800/oz, despite difficult H1 2018

+6%

TCC affected by inflation of some RUB denominated costs, higher volumes of stripping + suboptimal organisation of mining works in H1 2018, partially mitigated by higher processed grades (Pioneer, Malomir), higher recoveries

(Pioneer, Albyn, Malomir) + effect of RUB depreciation

US$/oz

25

Precious metals operating cash expenses 2018 vs. 2017Cash expenses -3% yoy as inflation of certain RUB denominated costs (electricity, diesel) was somewhat offset by the effect of RUB depreciation

Consumables +Other

Materials37%

(1) Before movement in ore stockpiles, GIC and bullion in process of US$19.2m(2) Before movement in ore stockpiles, GIC, flotation concentrate and bullion in process of US$55.6m

Consumables+

Other Materials

34%

Labour23%

Fuel14%

Electricity10%

Other 7%

External Services12%

TotalUS$313.4m(1)

Consumables+

Other Materials

31%

Labour22%

Fuel15%

Electricity9%

Other 8%

External Services15%

Precious Metals Operating Cash Expenses Structure

2018 2017 ChangeAvg. RUB/US$ FX 62.7 58.3 +7%Avg. Gold PM Fix US$/oz 1,268 1,257 +1%

TotalUS$302.7m(2)

FY2017 FY2018

26

Capex to fall to US$45m – US$55m in 2019(1)

Prudent approach to CAPEX

FY2018 Development US$112.8m FY2018 Exploration US$21.6m

61.5

19.3 19.1

10.5

2.4

21.6

POX Malomir Pioneer Albyn PPE Upgrade Exploration

Pioneer US$10.0mMalomir US$5.5mAlbyn US$5.0mOther US$1.1m

Tailings, underground development, machinery /

equipment

Tailings, access road

Flotation, tailings, underground

development

Active development continued ahead of scheduled Q4

commissioning

— Modular approach to developing projects in order to minimise upfront capex + related funding requirements.— Managing funding requirements on a 12m rolling basis + maintaining a 5 yr forecast in order to identify medium-term

funding needs

(1) Excludes recently – announced Pioneer flotation facility capex of US$25m – US$30m, a portion of which will be spent in 2019 and announced along with the H1 2019 trading update on 23 July 2019

27

– – –

500

– 125

2019 2020 2021 2022 2023 2024

June 2019 convertible bond offering was 2.4x oversubscribed

Leverage and net debt analysis

Historical net debt + leverage Current debt composition

US$125m convertible bond issue maturing Jul 2024

US$500m notes

maturing Nov 2022

Debt repayment schedule

978

638 611 596 594

930

610 599 585 568

3.7x3.5x

3.0x 2.5x

4.0x

2014 2015 2016 2017 2018

Total debt Net debt Net debt / Underlying EBITDA

(1) Total debt figure as shown refers to the nominal value

Convertible Bond20%

Guaranteed Notes 80%

Total Debt:US$625m(1)

2024 Convertible Bond

— Principal amount: US$125m— Coupon: 8.25%— Maturity: Jul 2024— Exchange price: US$0.1350

2022 Guaranteed Notes

— Principal amount: US$500m— Coupon: 8.125%— Maturity: Nov 2022— Rating: S&P = B-, Fitch = CCC

As of July 10, 2019

28

Petropavlovsk’s guarantee of IRC’s new debt facilitiesA key milestone in de-risking the Group’s finances

— In Dec 2018, K&S (a subsidiary of IRC) entered into a US$240m facility with Gazprombank

— This new facility was approved by Petropavlovsk shareholders in Mar 2019 and was drawn down by IRC

— Replaces an earlier facility with ICBC on more favourable terms

— Extended repayment period through to 2026

— Principal repayment skewed to the latter part of the loan term

— Amortisation schedule better aligned to the ramp-up of the K&S iron ore mine

The Gazprombank debt facility Petropavlovsk guarantee structure

— New facility comprises of 5 guarantees which fluctuate over life of loan

— Current guarantee amount is US$160m (Corporate Guarantee + Fixed Term Guarantee)

— The Corporate Guarantee will be removed subject to certain operational conditions at the K&S project being met(1)

(1) These conditions are considered to be ‘base case’ and the Company expects these will be achieved within a 3 year time-frame

Corporate Guarantee

Fixed Term Guarantee

Total Guarantee Liability

2019

US$120m US$40m US$160m

2020

2021US$40m 2021: US$160m

2022: US$40m2022

2023US$40m US$40m

2024

2025US$120m US$120m

2026

29

2019 outlookGuidance has improved following successful commissioning of the POX Hub

— US$45m – US$55m, consisting of sustaining, exploration + remaining POX capexCapex

— Targeting 450Koz – 500Koz Au, an increase vs. 2018 due to contribution from POX Hub facility (incl. gold in concentrate stockpiles from FY 2018), but excluding potential upside from 3rd party concentrate processing

— c.125Kt – 145Kt of refractory concentrate expected to be produced by Malomir flotation plant at 29gt –32g/t

— c.155Kt – 175Kt of refractory gold concentrate at 30g/t – 31g/t to be treated at POX Hub

Gold production

— Net debt to continue to fall in line with ramp-up of production + increase in free cash flow(1)De-leveraging

— TCC FY 2019: US$850 – US$950/oz, based on a RUB:US$ FX of 66, reflecting additional POX Hub ramp-up costs

— Once POX operating at full production from 2020, TCC expected to normalise at c.15% below 2019 guidance

Costs

— Autoclaves 3 + 4 to begin operating at full capacity once supplies of 3rd party concentrate secured— Management + Board are considering benefits of accelerating construction of additional flotation lines

at Pioneer / MalomirDevelopment

(1) Net debt (unaudited) as of 31 March 2019 reduced to c.US$550m

30

Sustainable Development

31

Maintaining leading ESG practices…

Environmental Social

Governance

Effective waste management (own solid waste landfills, licensed to handle hazardous wastes) –31% of all waste is reused ESG

Maintaining landscape rehabilitation, incl. biodiversity protection: release of 80,000 fish hatchling into the Zeya River in 2018

Strict control procedures of cyanide management. Fully approved tailing facilities meeting all legal requirements

Trade Union (1616 members, 18% of employees) with 2018 budget of RUB 19.7m. Key spending areas: health treatment + financial assistance for employees

The Company aims to implement best practice and to apply the UN Guiding Principles on Business and Human Rights to its operations:

‒ Established a Code of Conduct and Business Ethics‒ Implemented a Grievance mechanism‒ Annual review and publication of a revised Modern Slavery Statement

Establishment of Pokrovskiy Mining College with more than 10,500 people graduated to date

The Petropavlovsk Foundation – part of the Group, provides direct support to local communities + invests in numerous social programs

Environmental Management system compliant with GOST R ISO 14001- 2016 (ISO 14001:2015)

Petropavlovsk is a major taxpayer and one of the key employers in the Amur region

Regular development + training sessions for employees

Establishment of POX Hub part of government’s policy to develop Russian Far East

Equal career opportunities regardless of gender (c.25% employees are female, higher vs. industry average)

Continuous optimisation of energy and water consumption

57% of Directors at Board level are independent

Source: Company’s data

Petropavlovsk’s approach to sustainable development

32

Strong H&S standards with a focus on environmental impact minimisation

…with continuous optimisation of the production process in terms of ESG

84.3%76.6% 75.4%

32.2

21.7 21.2

2016 2017 2018Recycled water

Source: Company data

H&S and Social

4534

240.260.18

0.12

2016 2017 2018kWh / 1t of oreGJ / 1t of ore

The Group is committed to providing a safe working environment for all employees

Regular update of the Group’s Health and Safety policies

Regular campaigns to raise health + safety awareness

On-site inspections to ensure all operations comply with applicable laws / regulations

Minimum salaries paid by the Company are 56% higher vs. the region, while average salaries are c. 21% higher

Numerous social benefits, such as pensions, maternity / paternity leave + employee assistance programs

Special educational programmesand training

Implementing zero-discharge + recycled water supply systems in all facilities led to significant reduction of water consumption

Continuous monitoring of the quality of surface + ground water

Water consumption in strict accordance with usage quotas detailed within licence terms

Environmental

2.6 3.1 2.5

2016 2017 2018

ESG Strategy for 2019

Health + Safety‒ Minimise risk of accidents + occupational

illnesses, aiming for zero fatalities‒ Review / update H&S polices to ensure safe

working at POX Hub and underground mines

Environment‒ Harness innovations to improve Company’s

environmental performance further‒ Obtaining a Comprehensive Environmental

Permit for all facilities‒ Develop + implement a program for Industrial

Environmental Control (IEC)

Corporate Governance‒ Increasing bilateral communications between

stakeholders, the workforce and the community‒ Align grievance procedures with international

industry standards

272

641

426

778

Minimum AverageAmur region Petropavlovsk

millions of m3

Ongoing energy savings thanks to use of grinding technologies with modern mining equipment + mills with a light rubber lining

Continuous investment in advanced technologies, equipment, materials, as well as increasing automation of process controls, that helps to reduce emissions of harmful substances + waste

Energy consumptionLost time injury frequency rateAccidents per million manhours

Wages 2018 comparisonIn US$

Water consumption

33

Supporting the wellbeing of our employees and local communities

Social and Environmental Programmes

Culture25%

Sports6% Quality of Life

67%

Future Generations

1%

TotalRUB 25.8m

2018 spending on social programmes

Education1%

— In Feb 2019 MC Petropavlovsk became one of the top 3 winners

of the annual competition held by the administration of

Blagoveshchensk to determine the best organisation in terms of

industrial H&S

Participation in local sustainability programmes

— Established in 2010 by Dr Maslovskiy to support the Group’s

efforts in promoting development in the Russian Far East, with

particular focus on the Amur region

— Foundation aims to provide local communities with social,

economic + cultural opportunities, improving quality of life +

encouraging investment in the region

— It works closely with regional stakeholders, from federal groups to

small businesses

— The Foundation is an NGO, in accordance with Russian legislation

— The Foundation has been operating on the basis of an agreement

with Pokrovskiy Rudnik

The Petropavlovsk Foundation

34

Appendix

34

35

POX— A high temperature + pressure process in which gold bearing

sulphides are oxidised to render gold amenable to cyanide leaching

— Process begins with crushing, grinding and preconcentration using standard flotation techniques

— After oxidation in an autoclave, gold is removed from the solution via the traditional carbon-in-pulp process

Refractory + Double Refractory Ore— “Refractory” ore contains gold encapsulated in sulphides which

resists recovery via standard and carbon / resin absorption methods

— Sulphides need to be broken either chemically or mechanically

— “Double refractory” ore also contains carbon, which impacts recoveries special measures are required to neutralise carbon’s effect and minimise gold losses

Four methods for breaking up refractory ore sulphides: Autoclave — Pressure vessel where the finely ground concentrate is mixed with

oxygen and stirred with agitators

— The oxidation reaction is exothermic no further heating is required

— POG currently has 4 separate autoclaves, each being 4m x 15m in size and can treat 11.5t/h of double refractory concentrate at 225C, 35 Bar pressure

— 4 autoclaves give a significant degree of flexibility to POG operations, as flotation concentrates from Malomir + Pioneer (and potentially other sources) can be processed optimally at the same time, without compromising productivity or gold recovery

High Grade Concentrate

Pressure Oxidation

(POX)

Bio Oxidation

(BIOx)

Ultra-Fine

Grinding

Roasting

POX 101Introduction to refractory and double refractory gold ores

1. POX: Sulphides are oxidised in an autoclaveunder high pressure + temperature

2. Roasting: Oxidation by high temperature roasting

3. BIOx: Sulphides are oxidised using bacteria that “eat” sulphides

4. UFG: Involves fine grinding to release gold encapsulated in sulphides or other minerals

36

IRC Limited (1029.HK)Petropavlovsk has a 31.1% equity share in Hong Kong-listed iron ore producer IRC

A developer + producer of industrial commodities, principallyiron ore— Based in the Russian Far East, IRC benefits from low

production costs and proximity to China

— IRC has quality iron ore fines trading at sustainable premium vs benchmark

— IRC was part of Petropavlovsk’s Non-Precious Metals Division, before listing on the Hong Kong Stock Exchange in 2010

IRC’s key mining assets include:— K&S: a producing iron ore(1) mine with a 20 year mine life

— Located in the Jewish Autonomous Region, Russian Far East

— Produces premium quality high grade 65% Fe iron ore

— Ramping up to phase I design capacity of 3.2Mtpa, with option to increase to 4.6Mtpa (K&S Phase 1.5) and 6.3Mtpa (K&S Phase II)

— Kuranakh: on care + maintenance since Q1 2016

— Garinskoye: the project is at an early stage of exploration

(1) IRC market capitalisation as at close 18 June 2019 (US$189.5m) x Petropavlovsk’s equity interest (31.1%) = US$58.9m

Petropavlovsk is a 31.1% shareholder— IRC is accounted for as an associate

— Market capitalisation of Petropavlovsk stake of US$49m(1)

— Petropavlovsk is assessing the best way to realise the value ofits interest in IRC

Petropavlovsk acts as a guarantor in relation to a US$240mGazprombank facility entered into by K&S (an IRC subsidiary) inDec 2018— New GPB facility supersedes / replaces US$340m facility

entered into between IRC and the Industrial and Commercial Bank of China (ICBC) in 2010 (US$169m outstanding as at 31 Dec 2018), enabling IRC to develop the K&S mine

— New facility matures 2026 and is on better terms payments aligned with ramp-up + cash flows expected from K&S

— As part of new facility, the guarantee mechanism is implemented via a series of 5 guarantees that fluctuate in value through the 8 year life of the loan, with the possibility to reduce POG’s initial liability from US$160m to US$40m within 2 to 3 years, subject to certain conditions being satisfied (for more details please refer to page [28]).

— New facility approved by POG shareholders in Mar 2019 + was drawn down by IRC to repay outstanding ICBC facility of US$169m + 2 x bridge loans advanced by POG to IRC amounting to c.US$57m

IRC at a glance POG equity interest in IRC

37

FY 2018 IRC resultsStrong FY performance on the back of continuing successful K&S ramp-up coupled with refinancing of ICBC project finance facility on the better terms

Corporate

Financials

Operations

Amur bridge

— Total revenue +39% to US$151.5m (vs. US$109.3m in 2017) due to increased K&S output— EBITDA +42% to US$28.5m (vs. US$20.0m in 2017) due to stronger revenues + stricter cost-control— Net profit of US$68.2m (vs. US$113.3m in 2017)— Impairment reversal of US$90.5m

— Iron ore concentrate production +43% to 2,235Kt (vs. 1,563Kt in 2017)— Iron ore concentrate sales + 44% to 2,224Kt (vs. 1,539Kt in 2017)— Avg. selling price of US$68/t (vs. US$70/t in 2017)— In Dec 2018, K&S achieved a record-breaking monthly production by operating at an average capacity

of c.84%— Care + maintenance at Kuranakh mine remains satisfactory

— IRC entered into a new loan facility agreement with Gazprombank to refinance existing ICBC loan, with principal repayments better aligned with ramp-up of K&S

— Mr Peter Hambro appointed as Non-Executive Chairman of IRC

— Russian + Chinese sections of Amur river bridge successfully connected — The bridge is expected to be operational in Sep 2019 once customs checkpoints + other ancillary

infrastructure are in place

38

Group operations overviewProduction summary

Mining Units FY 2018 FY 2017Total material moved m3 000 44,383 57,539Ore mined t 000 10,294 17,990Average grade g/t 1.2 0.9ProcessingRIPTotal milled t 000 13,595 16,620Average grade g/t 1.0 0.8Gold content Koz 417 448Recovery rate % 84% 80%Gold recovered Koz 351 360Heap LeachOre stacked t 000 701 1,250Average grade g/t 0.5 0.4Gold content Koz 11 18Recovery rate % 54% 50%Gold recovered Koz 6 9Gold in concentrate – POX Koz 52 -TOTAL gold production Koz 422 440Gold sales Koz 370 440CostsTCC US$/oz 786 741AISC US$/oz 1,117 963

39

Selected financial information (1/2)Income Statement, Cash Flow Statement and alternative performance measures

(1) Group’s share of interest expense, investment income, other finance gains and losses, foreign exchange losses, taxation, depreciation and impairment recognised by an associate

Consolidated Income Statement, US$m 2016 2017 2018Group revenue 540.7 587.4 499.8 Operating expenses (460.1) (522.3) (388.6)Share of results of associates(1) (3.6) 35.2 15.5 Operating profit/(loss) 77.0 100.4 126.6 Investment income 0.6 0.8 3.8 Interest expense (61.0) (25.9) (29.5)Other finance gains 11.9 2.2 13.9 Other finance losses (1.5) (28.5) (32.4)Profit before tax 27.0 48.9 82.4 Taxation 4.7 (11.8) (56.5)Profit from cont.operations 31.7 37.1 25.9

Cash flow statement, US$m 2016 2017 2018Cash flows from operating activitiesCash generated from operations 126.0 204.3 282.8 Interest paid (53.7) (49.2) (60.6)Income tax paid (35.3) (31.1) (5.0)Net cash from operating activities 37.0 124.0 217.2 Cash flows from investing activitiesProceeds 19.4 – –Purchase of property, plant + equipment (22.0) (82.3) (131.2)Expenditure on exploration + evaluation assets (7.4) (5.8) (3.2)Proceeds from disposal of property, plant + equipment 0.7 0.3 1.2 Loans granted 0.0 – (57.0)Interest received 0.5 0.8 3.7 Net cash used in investing activities (8.7) (87.0) (186.5)Cash flows from financing activitiesIssue of Notes, net of transaction costs – 495.0 –Proceeds from borrowings 295.3 – –Repayments of borrowings (322.2) (525.8) (4.0)Notes related costs (4.0) – (2.6)Debt transaction costs paid with bank loans 30.8 (9.0) (6.4)Funds advanced to the Group under investment agreement with the Ministry of Far East Development – 31.2 –

Funds transferred under investment agreement with the Russian Ministry of Far East Development (47.7) (31.2) –

Guarantee fee in connection with ICBC facility 1.1 1.2 –Net cash used in financing activities (46.8) (38.6) (13.0)Net increase/(decrease) in cash + cash equivalents in the period (18.4) (1.6) 17.7

Effect of exchange rates on cash and cash equivalents 2.8 0.4 (3.0)Cash + cash equivalents at beginning of period 28.2 12.6 11.4 Cash + cash equivalents at end of period 12.6 11.4 26.2

Alternative Performance Measures, US$m 2016 2017 2018Profit for the period 31.7 37.1 25.9 Other finance (gains) / losses 50.0 51.4 44.2 FX losses 5.2 0.7 (8.5)Accrual for additional mining tax – 19.9 –Taxation (4.7) 11.8 56.5 Depreciation 105.3 104.8 102.2 Impairment and write-downs 1.2 (0.2) (69.4)Share of results of associates(1) 2.4 (28.7) (8.1)Underlying EBITDA 200.1 196.8 143.0 Underlying EBITDA margin 37.0% 33.5% 28.6%Total cash costs, US$/oz 660 741 786 All-in sustaining costs, US$/oz 807 963 1,117 All-in costs, US$/oz 838 1,065 1,332

40

Selected financial information (2/2)Consolidated Balance Sheet

Balance sheet, US$m 2016 2017 2018AssetsNon-current assetsExploration and evaluation assets 49.3 53.5 43.1 Property, plant and equipment 918.8 937.5 1,097.1 Investments in associates 36.1 70.9 85.1 Inventories 51.7 72.7 56.8 Trade and other receivables 11.4 8.9 0.5 Other non-current assets 1.1 0.3 1.2 Total non-current assets 1,068.4 1,144.0 1,283.9 Inventories 183.3 172.7 205.8 Trade and other receivables 90.4 75.8 68.4 Loans granted to an associate – – 51.0 Derivative financial instruments 7.5 – –Cash and cash equivalents 12.6 11.4 26.2 Total current assets 293.8 259.9 351.4 Total assets 1,362.2 1,403.9 1,635.2 LiabilitiesTrade and other payables (57.9) (89.3) (221.4)Borrowings (85.3) (7.1) –Other current liabilities – (0.2) (10.8)Total current liabilities (143.2) (96.6) (232.2)Borrowings (525.9) (589.3) (594.2)Trade and other payables – – (33.8)Other non-current liabilities (131.1) (151.5) (173.7)Total non-current liabilities (657.0) (740.8) (801.7)Total liabilities (800.2) (837.4) (1,033.9)EquityShare capital 48.9 48.9 49.0 Share premium 518.1 518.1 518.1 Other (22.3) (10.8) 22.6 Non-controlling interests 17.2 10.1 11.6 Total equity 562.0 566.4 601.3

Documents

PETROPAVLOVSK PLC · Centamin. Acacia. Endeavour Mining. Source: Company data, Bloomberg, companies’ annual reports (1) Calculated as 2018 P&P Reserves divided by annual production