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Seligdar PJSC (MOEX: SELG, hereafter Company or Seligdar), a Russian gold and tin producer, announces operating results for 1H2023 based on management data. Doré gold production by the Seligdar companies reached 2,692 kg, an 8% increase year-on-year. Production of tin in concentrate grew by 14% to 1,425 tonnes, copper in concentrate, by 28% to 569 tonnes. Total revenue from metals sales by the Seligdar companies increased by 87% and comprised 20.2 billion Russian roubles for 1H2023.

Gold division

·         The run-of-mine material for 1H2023 comprised 11.5 million cubic meters against 13.8 million cubic meters year earlier.

·         Ore mining* for the first 6 months of 2023 comprised 5.7 million tonnes compared to 7.0 million tonnes for the same period of the previous year. The decrease in the volume of ore mining is due to the plans of mining development and does not affect the volume of gold production as ore that was stockpiled earlier during outpacing mining operations in 2020 – 2022 is involved into processing.

·         Sand mining increased by 114% and reached 476 thousand cubic meters that was due to the early start of the mining season and outpacing strip mining in the last year.

·         Doré gold production increased by 8% year-on-year and amounted to 2,692 kg.

·         Sales of produced gold comprised 2,328 kg, a 47% increase compared to the same period of the last year. Besides, a purchase of 1,322 kg of gold was made followed by the sale at a higher price. Thus, total gold sales grew by 130% to 3,650 kg for 1H2023. Excluding gold produced under contract agreements (not recorded in the IFRS consolidated financial statements of Seligdar PJSC) the gold sales comprised 3,606 kg.

Tin division

·         Ore mining improved by 53% year-on-year in 1H2023 to 450 thousand tonnes due to an increase in preparatory and rock mining operations and introduction of preliminary X-Ray transmission sorting (XRT).

·         Ore processing totalled 431 thousand tonnes, a 52% growth compared to year earlier period. The increase in the volume was driven by processing of low-grade ore that was preliminary treated at the XRT facility.

·         Production of tin in concentrate comprised 1,425 tonnes for the first 6 months of 2023 having increased by 14% year-on-year.

·         Production of tungsten in concentrate grew by 58% to 57 tonnes due to work of the Scheelite flotation facility commissioned in July 2022 at the Solnechny production complex.

·         Production of copper in concentrate rose by 28% compared the same period of the previous year and reached 569 tonnes.

Sales

·         The 6M2023 revenue from gold sales amounted to 17.7 billion Russian roubles, a 155% increase compared to the same period of the previous year. 65% of the revenue accounts for sales of gold produced by the Seligdar companies; 35% was received from sales of purchased gold. The growth of revenue was driven by an increase in sales volume and rise in the average realised gold price by 13% year-on-year.

·         Revenue from gold sales excluding gold produced under contract agreements (not recorded in the IFRS consolidated financial statements) comprised 17.5 billion Russian roubles.

·         The 1H2023 revenue from sales of tin, tungsten and copper concentrates amounted to 2.5 billion Russian roubles compared to 3.8 billion Russian roubles year earlier. The decrease in revenue is due to volatility of market prices for non-ferrous metals and the Company’s sales policy.

·         Total revenue from sales of gold and tin, tungsten, copper concentrates totalled 20.2 billion Russian roubles for 1H2023 having exceeded by 87% the year-earlier revenue.

Gold Division Results

** on dry weight basis.

Tin Division Results

* By 2023, Seligdar completed transition to recording mined ore on dry-weight basis.