News

OJSC Polyus Gold (RTS, MICEX and LSE - PLZL), Russia's leading gold producer, today announced that CJSC Polyus, its wholly-owned subsidiary, had consolidated 100% of OJSC Matrosov Mine's shares, which was made within a squeeze-out offer made to OJSC Matrosov Mine. Matrosov Mine is the license-holder of Natalka gold deposit in Magadan region. 

In July 2008 CJSC Polyus made a squeeze-out offer to the shareholders of OJSC Matrosov Mine, aimed at buying out all ordinary and preference shares of OJSC Matrosov Mine. The offer was made basing on Clause 7 of the Federal Law No7-ФЗ dated 5.01.2006 ' On the Introduction of Amendments to the Federal Law "On Joint-Stock Companies" and Certain Other Legislative Acts of the Russian Federation, as well as on Clause 84.8 of the Federal Law dated 26.12.1995 No 208-ФЗ 'On Joint-Stock Companies'. 

According to the squeeze out offer, CJSC Polyus bought out all OJSC Matrosov Mine ordinary and preference nominal uncertificated shares from its shareholders at the following prices:

• RUR 56,396.83 per each ordinary share;
• RUR 4.19 per each type A preferred share.

The buy out price was determined basing on the valuation of an independent appraiser LLC "Rosexpertiza" and was confirmed by the opinion of the self-regulatory assessment organization non-commercial partnership "Self-regulatory organization of the Russian assessment masters association". 

Polyus Gold is the largest gold producer in Russia. Headquartered in Moscow, Polyus Gold's operating mines and development/exploration projects are located in five major gold mining regions of Russia - Krasnoyarsk, Irkutsk, Magadan, Amur regions and the Republic of Sakha (Yakutia). The company produced 1.2 m oz of gold in 2007.

For further information please contact

For investors:

Alexey V. Chernushkin, Director, CM and IR

Evguenia V.Buydina, IR manager

+7(495) 641-3377

+7(495) 785-4031

ir@polyusgold.com

For press:

Victoria V. Vergelskaya, PR Director
Elena D. Evstigneeva, Media Relations
+7 (495) 641-3365
+7 (495) 544-5496

pr@polyusgold.com