2021 04 Polymetal ESGDay

RESPONSIBLE
AND SUSTAINABLE
Analyst and Investor Day

ESG presentation
27 April 2021
POLYMETAL INTERNATIONAL PLC ANALYST AND INVESTOR DAY 2
TABLE OF CONTENTS
Approach and 2020 highlights

01 Tracey Kerr
Climate change
02 Vitaly Nesis
Aligning ESG and remuneration

03 Daria Goncharova
Appendices
04
POLYMETAL INTERNATIONAL PLC ANALYST AND INVESTOR DAY
01
APPROACH AND 2020
HIGHLIGHTS
SUSTAINABILITY AS ONE OF
STRATEGIC PPRIORITIES
How we enable sustainable and responsible growth:
1
Setting clear goals and
2
Engaging with stakeholders
measuring performance
We advocate for meaningful
dialogue with employees, We have corporate management
communities, authorities, business systems in place to monitor and
partners and capital providers continuously improve sustainability
performance
3 4
Aligning our impacts with Applying the highest
UN SDGs standards of governance and
risk management
We have mapped strategic impact
areas to relevant SDGs and targets Our management remuneration is
and analysed how we contribute linked to ESG KPIs, and sustainability
risks are embedded in corporate Risk
Management System
OUR TOP SUSTAINABILITY TOPICS:

ENVIRONMENTAL
Reducing our environmental footprint
Climate change Water
Priorities Increasing energy efficiency and using Reduction of fresh water withdrawal
renewable energy Safe water discharge
Approving a step-by-step path to
carbon neutrality
Performance 4% decrease in GHG intensity 36% y-o-y decrease in fresh water use
compared to 2019 for processing per unit of production1
in 2020
3% decrease in energy intensity 89% of water reused/recycled
compared to 2019 (2019: 87%)
Conducted scenario analysis and
climate risk assessment
GHG EMISSIONS INTENSITY1, FRESH WATER INTENSITY2,

Relevant SDGs t of CO2e per Kt of processed m3 per 1 Kt of ore processed
ore2
299
268
79.8
76.3
171
2019 2020 2018 2019 2020
Notes:
1) The new methodology has been applied since 2020 for more precise disclosure of emissions, data for 2019 has been restated accordingly for comparative purposes. Data for 2018 calculated using the old
methodology is considered to be unrepresentative.
2) Excluding water for non-technological purposes.

ENVIRONMENTAL
Reducing our environmental footprint
Waste and pollutants Biodiversity and lands
Priorities Zero environmental accidents (e.g. via Plan ahead for mine closure
moving to dry stacking of tailings) Evaluate our biodiversity footprint and
Increase the share of waste reused develop biodiversity action plans for high-
through backfilling risk sites by 2023
Performance 17% of waste reused (2019: 14%) 100% operations with mine closure plans
11% of tailings dry stacked (2019: 1,560 seedlings planted
in 2020
10%) Introduced a framework to report on
Commitment to comply with the wildlife harm or mortality
Global Industry Standard on Tailings
Management by 2023 in all operations
SHARE OF WASTE REUSED OR LANDS REHABILITATED,

Relevant SDGs RECYCLED hectares
1,404
16% 17%
14%
232
136
2018 2019 2020 2018 2019 2020


SOCIAL AND GOVERNANCE
A focused approach on material issues
Health and safety Employees
Priorities Ensure zero fatalities Attract and retain best employees

Build zero harm culture Improve equality and diversity
Year-on-year decrease in absent days Support labour rights
following accidents
Performance Zero fatalities 6.5% employee turnover (2019: 5.8%)

0.12 LTIFR (2019: 0.19) 21% female employees (2019: 21%)
in 2020
1,583 absent days following 83% employees under collective
accidents (2019: 1,760) agreements
Co-founded Women in Mining Russia
EMPLOYEE LTIFR, HEADCOUNT AND TURNOVER

Relevant SDGs per 200,000 hours worked
0.19 12,140 11,611 12,065
20% 21% 21%

0.12
0.09 6.5% Female
5.8% 5.8%
Male
Turnover
2018 2019 2020 2018 2019 2020

SOCIAL AND GOVERNANCE
A focused approach on material issues
Communities Supply chain
Priorities Ensure zero community conflicts and Purchase from local suppliers whenever
positive engagement possible
Maintain substantial long-term Increase supplier engagement in
investments in our communities sustainability
Performance Zero conflicts 43% local purchasing (Kazakhstan: 82%;

$17.9m social investments Russia: 37%)
in 2020
(2019: $15.1m), including Implemented human rights clauses in all
$3.4m Covid-related support contracts with business partners
572 enquires received and resolved
Relevant SDGs SOCIAL INVESTMENTS BY AREA, % of total

Healthcare
2% 2%
5% Education
12% Sport
Infrastructure
13% 51%
Culture
Charitable donations
15% Indigenous communities
ESG LEADERSHIP
External recognition and disclosure commitments
RECOGNITION OF OUR EFFORTS TO DATE ESG RISK RATING PEER COMPARISON1
36 39
27 27 28 30 31
20 24
Member of DJSI 1st among 60 precious
World and Russia metals companies in
indices ESG Rating
Polyus
Agnico
Barrick
Hochschild
Kinross
Gold Fields
Centerra
Newmont
Polymetal
Eagle
First and only 20.3 ESG Risk Rating
company with (Medium Risk)
majority of assets in
the CIS
EXTERNAL INITIATIVES
UN Global Compact Signatory since 2009

ESG rating A Disclosure under GRI, SASB, TCFD
Climate change score B-
Member of ESG (improvement from D) Signatory to International Cyanide
Leaders index
Management Code
Signatory to Extractives Industry

Transparency Initiative (EITI) in
Kazakhstan
Notes:
1) Based on Sustainalytics data. Lower number is better
02
CLIMATE CHANGE
SETTING AMBITIOUS TARGETS

Approach based on the Paris Agreement principles
(<2 degrees)
GHG INTENSITY REDUCTION TRAJECTORY Develop
Scope 1 + Scope 2 emissions, kg CO2e per oz GE -30% path to
reduction of
GHG intensity net-zero
-6% by 2030 by the end of
(baseline 2019) 2022
801 -15%
756
680 -30% See our first Climate Change

Report and the updated Climate
560 Change Policy on our website
Baseline
2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030
BENCHMARKING AGAINST PEER GROUP

Carbon footprint reduction targets of mining companies
Company Metric Target 2030 Baseline
Emissions intensity: scope 1+2 -30% 2019

Polymetal
Absolute emissions: scope 1+2 -35% 2019
Glencore Absolute emissions: scope 1+2+3 -40% 2019
Vale Absolute emissions: scope 1+2 -33% 2017
Anglo American Absolute emissions: scope 1+2 -30% 2016
Unchanged
Nornickel Absolute emissions: scope 1+2 2017
with 25-30% production growth
Absolute emissions: scope 1+2 -30%

Newmont 2018
Emissions intensity: scope 1+2 -30%
Freeport-McMoran Emissions intensity: scope 1+2 -15% 2018
Barrick Absolute emissions: scope 1+2 -30% 2018

CURRENT STRUCTURE OF POLYMETAL’S CARBON

FOOTPRINT
GHG emissions 2020
BREAKDOWN OF TOTAL EMISSIONS BY BREAKDOWN OF SCOPE 1 + SCOPE 2

SOURCE EMISSIONS BY SOURCE
Scope 1 In-house Mobile

34% power Fleet
generation 22%
24%
1.8 Mt 1.2 Mt
On-site
contractors
Scope 3
35% of CO2e of CO2e 6%
Scope 2
31%
Purchas
ed
energy
48%
CAPITAL EXPENDITURE ESTIMATE

Focus on projects that support low-carbon and
climate change-resilient growth
ESTIMATED CLIMATE-RELATED CAPEX 2021-2030
$m $1,100m
overall capex
estimate for green
project till 2030
300 1,100
Incremental additional
250 spending
200 450
50 Off-balance sheet
300 150
50
50 Included in the base case
250
projections (stay-in business)
300 250
400
Efficiency Grid Fleet Renewables Total

improvements connection electrification
GHG INTENSITY REDUCTION TARGET

Purchased energy:
focus on grid decarbonisation and renewables
PURCHASED ENERGY GHG INTENSITY (SCOPE 2),
kg of CO2e per oz of GE -20%
by 2030 compared to 2019

In-house energy generation:
focus on link to grid and renewables
IN-HOUSE POWER GENERATION GHG INTENSITY (SCOPE 1),

Mobile fleet:
focus on linking to grid and renewables
MOBILE FLEET GHG INTENSITY (SCOPE 1),
DECARBONISATION OPPORTUNITIES
OPPORTUNITIES PROJECTS CHALLENGES
Connecting sites to grid  Persistent carbon footprint of grid

(Nezhda and Albazino) electricity
Switch from in-house Encouraging our electricity  Absence of reliable mobile electric
diesel/coal-based suppliers to decarbonise (Kyzyl, fleet (particularly open-pit and
Mayskoye, Dukat, Varvara) cargo trucks)
facilities
Mobile fleet electrification  Technical and economic difficulties
in de-carbonizing heating
In-house generation projects:  Limited availability and efficiency

In-house renewable solar and wind power plants in of renewables in the Northern
energy total capacity of >35 MW territories
by 2025
Fleet AI management at Kyzyl  Early stages of technology

Efficiency and Nezhda development
(AI, optimization, heat Ventilation-on-demand and lack of infrastructure
losses avoidance, resource Plant AI
efficiency, energy efficiency)
Planting 500 hectares of forest  Slow absorption by carbon sinks

Ecosystems rehabilitation in 2021-2022 (forests, soils)
(reforestation, reclamation)  Increased reclamation costs
ELECTRICITY GRID IMPACT

Grid connection to hydro power plants will significantly
decrease our carbon footprint
According to our updated estimates, power lines projects at Nezhda and Albazino will result in a
10% reduction in Group Scope 1 + Scope 2 GHG emissions
EXPECTED GHG EMISSIONS REDUCTION IN THE FIRST YEAR AFTER

GRID CONNECTION, Kt
Diesel power
Power line
-65% -30%
117.7 117.5
82.9
41.2
Nezhda Albazino
PERMAFROST EXPOSURE AND ENERGY SOURCES

Paying specific attention to our facilities safety in
permafrost regions of Russia
03
LINKING ESG TO
REMUNERATION
SUSTAINABILITY REMUNERATION FACTORS IN 2020

Integrating sustainability through non-financial
remuneration KPIs
Non-financial targets impact 35%

of total annual bonus for CEO and CEO and COO
relate to safety, environment,
personnel and social impact
Safety and sustainability KPIs are
defined by the Remuneration Mine directors,
Committee of the Board subsidiary directors and
their deputies, top
Performance is assessed by the managers in the
Safety and Sustainability management company
Committee and recommended for
approval by the Board
All the changes to remuneration Heads of the main
policy cascade down to relevant operational units and
employee groups their deputies
SUSTAINABILITY REMUNERATION FACTORS IN 2020

Non-financial targets impact 35% of total annual bonus
Area Weight Target 2020 outcome
>10% y-o-y decrease of DIS

Safety 25% (days lost due to work- 10% decrease of DIS compared to 2019
related injuries)
Developing a detailed
Programme has been 100% completed with
programme for GHG
a list of measures aimed at GHG reduction
reduction
in 2020–2021 and further
Environment 4% Reducing fresh water use for
Fresh water use for processing intensity has
processing intensity by 4%
been reduced by 43% compared to
compared to baseline 2018
baseline 2018 year
year
Implementing the diversity The diversity programme has been

Personnel 3% programme implemented at all Russian operations
Social Social projects categorisation

Methodology of social project effectiveness
partnership in 3% and assessing the efficiency
was implemented across all operations
host regions of social investments
SAFETY
Marked performance improvement with zero fatalities
FATALITIES DIS (days lost due to work-related injuries
Employees
Contractors
4 1,760
1,583
3
2 2
1 1 1
0 - -
2016 2017 2018 2019 2020 2019 2020
In 2020, there were zero fatalities and

LTIFR1 LTIFR for employees decreased by 38%
y-o-y, with 11 out of 13 injuries classified
as minor. The two severe injuries were
0.19 0.19 related to falls from height and hits by
cargo when loading vehicles
0.15
0.12 Among contract workers, there were
0.09 zero fatalities and 12 minor injuries
(2019: 10), with vehicle collision being
the most frequent cause
2016 2017 2018 2019 2020
Notes:
1) LTIFR per 200,000 hours worked. For Polymetal employees only.
WATER
Decreasing fresh water use
FRESH WATER USE SHARE OF WATER RECYCLED AND
REUSED, % of total water used
6.6 89%
87%
4.9 83% 83%
299 3.5
268
171
2018 2019 2020 2017 2018 2019 2020

Fresh water Fresh water intensity (m3
withdrawal per 1 Kt of ore
(thousand m3) processed) 1
FRESH WATER USE INTENSITY BY MINES1, m3 per 1 Kt of ore processed
241 236 215

153
68 65 46
0
Kyzyl Albazino Varvara Dukat Svetloye Omolon Mayskoye Voro
Notes:
1) Includes only water used in technological processes
SECTOR-LEADING RETURN
TSR: 10Y
1,754%
169%
130% 113%
69%
52%
39% 34%
15% 14% 10%
2% -24% -32% -35% -44% -45% -47% -49% -50% -64%
-88%
Northern Star
Polymetal
B2Gold
FTSE GM
Barrick
Kinross
FTSE 250
FTSE 100
Gold Fields
Fresnillo
Centamin
Gold ($/oz)
Agnico Eagle
Eldorado
Evolution
Newmont
Centerra
Yamana
Pan American
AngloGold
Endeavour
Newcrest
Source: Company, Thomson Reuters and Bloomberg data. Accounts for dividends paid only
APPENDICES
CLIMATE RISK MANAGEMENT

Transitional risks
KEY IMPACTS HOW WE ADAPT
Short-term horizon:
 Carbon tax payment Monitoring of legal initiatives
Approval of 2030 carbon footprint
 Capital expenditure on reduction goals
adaptation and new
Develop approach to 2050 goals
technologies
Medium-term horizon:
 Fines for non-compliance with Reduce GHG emissions
legislation or emission standards Approve 2020 carbon neutrality
pathway
 Increased operating costs
Long-term horizon:
Carbon footprint reduction by 30%
 Environmental insurance payment
Renewables up to 15% in the
generated energy by 2030
Total exclusion of carbon
technologies
Significance level:  High  Medium  Low


Physical risks
KEY IMPACTS HOW WE ADAPT
Short-term horizon:
 TSF and buildings damage
Monitoring facilities, particularly in
the permafrost areas
 Transport infrastructure damage Preventive measures for reliability
enhancement of the facilities
Medium-term horizon:
 Power line breakages
Automated monitoring systems and
permafrost stabilisation systems
 Lack of water resources Transition to dry stacking
Reduction of fresh water use
Preparedness to reduced operational
 Increased operating costs time of winter roads
Long-term horizon:
 Disruption to logistics and shipping Design and construction of facilities
considering new climatic conditions
No construction in areas exposed to
potential flooding or with unstable
Significance level:  High  Medium  Low
soils

Applying scenarios and time horizons
Short term Medium term Long term
(<1 year) (1-5 years) (>5 years)
SUSTAINABLE DEVELOPMENT  Cross-border  Increase in cross- << +1.5oC

SCENARIO border and national
by 2100
carbon regulation
 Preparation for the  National carbon taxes carbon taxes
A fast transition to a low-carbon implementation cross-  Best Available Technology  Widespread use
economy, limiting the global
average temperature rise to 1.5°C
border and national mechanisms introduced of CO2 removal Transitional 
carbon regulation  Boost in CO2 removal technologies, hydrogen risks
above pre-industrial levels technologies technologies and
and green-tech renewables
Physical risks 
PARIS AGREEMENT SCENARIO
 Cross-border
 Increase in cross-
border carbon taxes
<< +2oC
Limiting the rise in global average  Preparation for the carbon regulation
 Fast development
 Cross-border by 2100
temperature to below 2°C above implementation cross- carbon regulation
border and national of CO2 removal
pre-industrial levels  National carbon taxes Transitional
carbon regulation technologies
and green-tech
 Best Available risks

Technology
mechanisms Physical risks 
BUSINESS AS USUAL х No cross-border carbon х No cross-border carbon +3-8oC
A slow transition to a low-carbon
by 2100
regulation regulation
economy with the developing х No changes in х No emissions trading х No emissions trading
countries lagging far behind; the national/international schemes or carbon schemes or carbon taxes
global average temperature rise is carbon regulation taxes at national level at national level Transitional 
well above 2°C relative ! Increase in the ! Frequency of weather risks
to pre-industrial levels extremes more than
frequency of weather
extremes doubles
Physical risks 
RENEWABLE ENERGY
Reducing carbon footprint and ensuring energy security
Plans forward: Svetloye (1 MW)
2021: solar power plant at Omolon (2.5 MW)

2022: solar power plant at Kutyn1 (1 MW)
2023: wind power plant at Kyzyl or Varvara (10
MW)
2024: solar power plant at Prognoz (10 MW)
and Kyzyl (10 MW)
Svetloye (100 kW)

Total expected Total CapEx
capacity by 2025 by 2030
35 MW $300M
of renewable incl. other projects
energy generation under consideration
Notes:
1) Part of Albazino hub
DECARBONIZING TRANSPORT
Low-carbon transport projects Mine site Implementation
17 underground loaders and trucks Dukat 2021-2026 >90

units of electric
12 underground loaders Mayskoye 2022-2028 underground and
Electric-driven conveyor ore transportation 2022 open-pit
Mayskoye equipment
system
26 underground loaders and trucks Albazino 2021-2026

Total CapEx
Varvara, Komar by 2030
13 electro-hydraulic excavators 2021-2028
and Kyzyl
23 underground drilling rigs, loaders and trucks Veduga 2021-2026

$200M
incl. other projects
under
consideration
Mayskoye, Voro,
electric underground fleet electric ore conveyor system
GREEN FINANCING
An ideal tool to finance the transition to a low-carbon
economy and safer environment
In October 2020, Polymetal launched the Green Financing Framework (GFF) and agreed a $125m
Green Loan with Societe Generale to finance investments in transition to a sustainable and low-
emissions economy
The share of ESG instruments in our total debt is 16% or $280m
Our GFF received a CICERO’s Medium Green shading and a governance score of Good
GREEN LOAN ESTIMATED ALLOCATION1
$47m
Clean transportation
$125m
for project to
reduce
environmental
footprint $6m
Renewable
$66m energy
Sustainable waste
management
$6m
Notes: Sustainable water
1) Includes historical investments in renewable technologies at Svetloye management
SWITCHING TO SAFER TAILINGS DISPOSAL

Environmental benefits of dry stacking
Safety and pollution control
Structure of waste deposition are is stable – no risk

of major accident/ dam failure
Waste is physically and chemically stable – no risk

of pollutant leaching and release, including
seepage to groundwater
Safer for wildlife – no dam means no risk for birds
Deposition site is easier to close and rehabilitate
Minimal containment required
Reduces environmental footprint

Reduced land usе by 20% thanks to higher density
of dry stacks
Reduced consumption of water and minimal water

management
Dewatered waste is transportable by track or

conveyor
LOCATION AND TYPE OF OPERATED TSF AND DSF

Seismic conditions and permafrost in Russia and Kazakhstan are big advantage
compared to Latam and Africa
Mayskoye TSF
Lunnoye TSF
Omolon TSF
Omsukchan TSF 2
Voro DSF Omsukchan TSF 3
Varvara TSF Amursk DSF

Albazino TSF 11
Albazino TSF 2
DAM TYPES
Dry stacking (DSF)
Upstream TSF
Downstream TSF
Centerline TSF Kyzyl
Future DSF
Notes:
1) Inactive since 2020
POLYMETAL AND WATER STRESS AREAS

Mayskoye
Pevek +
Omolon hub
Viksha +
Evensk
Dukat hub
Saint-Petersburg Prognoz
Magadan
+
+
Moscow Russia Yakutsk
+
Nezhda + Okhotsk
+
Voro / Voro flotation Ulya
Svetloye
+ Ekaterinburg Veduga Kutyn

Albazino
Varvara
POX/POX-2
+ Amursk + Sovetskaya gavan’
+ +
Kostanay Krasnoyarsk
Khabarovsk +
+
Nur-Sultan
Oksemen
+
Kazakhstan Vladivostok
+ +
Nakhodka
Kyzyl
Baseline Water Stress

Competence centre
Low (0-1) Medium-high (2-3) Extremely-high (3-4)
Operating assets
Low-medium (1-2) High (3-4)
Developing assets Country + City / town

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RESPONSIBLE

Analyst and Investor Day

Approach and 2020 highlights

Aligning ESG and remuneration

OUR TOP SUSTAINABILITY TOPICS:

GHG EMISSIONS INTENSITY1, FRESH WATER INTENSITY2,

2019 2020 2018 2019 2020

OUR TOP SUSTAINABILITY TOPICS:

SHARE OF WASTE REUSED OR LANDS REHABILITATED,

2018 2019 2020 2018 2019 2020

OUR TOP SUSTAINABILITY TOPICS:

Priorities Ensure zero fatalities Attract and retain best employees

Performance Zero fatalities 6.5% employee turnover (2019: 5.8%)

EMPLOYEE LTIFR, HEADCOUNT AND TURNOVER

0.19 12,140 11,611 12,065

20% 21% 21%

OUR TOP SUSTAINABILITY TOPICS:

Performance Zero conflicts 43% local purchasing (Kazakhstan: 82%;

Relevant SDGs SOCIAL INVESTMENTS BY AREA, % of total

RECOGNITION OF OUR EFFORTS TO DATE ESG RISK RATING PEER COMPARISON1

UN Global Compact Signatory since 2009

Signatory to Extractives Industry

SETTING AMBITIOUS TARGETS

680 -30% See our first Climate Change

BENCHMARKING AGAINST PEER GROUP

Company Metric Target 2030 Baseline

Emissions intensity: scope 1+2 -30% 2019

Glencore Absolute emissions: scope 1+2+3 -40% 2019

Vale Absolute emissions: scope 1+2 -33% 2017

Anglo American Absolute emissions: scope 1+2 -30% 2016

Absolute emissions: scope 1+2 -30%

Freeport-McMoran Emissions intensity: scope 1+2 -15% 2018

Barrick Absolute emissions: scope 1+2 -30% 2018

CURRENT STRUCTURE OF POLYMETAL’S CARBON

BREAKDOWN OF TOTAL EMISSIONS BY BREAKDOWN OF SCOPE 1 + SCOPE 2

Scope 1 In-house Mobile

CAPITAL EXPENDITURE ESTIMATE

Efficiency Grid Fleet Renewables Total

GHG INTENSITY REDUCTION TARGET

GHG INTENSITY REDUCTION TARGET

GHG INTENSITY REDUCTION TARGET

OPPORTUNITIES PROJECTS CHALLENGES

Connecting sites to grid  Persistent carbon footprint of grid

In-house generation projects:  Limited availability and efficiency

Fleet AI management at Kyzyl  Early stages of technology

Planting 500 hectares of forest  Slow absorption by carbon sinks

ELECTRICITY GRID IMPACT

EXPECTED GHG EMISSIONS REDUCTION IN THE FIRST YEAR AFTER

PERMAFROST EXPOSURE AND ENERGY SOURCES

SUSTAINABILITY REMUNERATION FACTORS IN 2020

Non-financial targets impact 35%

SUSTAINABILITY REMUNERATION FACTORS IN 2020

Area Weight Target 2020 outcome

>10% y-o-y decrease of DIS

Implementing the diversity The diversity programme has been

Social Social projects categorisation

2016 2017 2018 2019 2020 2019 2020

In 2020, there were zero fatalities and

2018 2019 2020 2017 2018 2019 2020

FRESH WATER USE INTENSITY BY MINES1, m3 per 1 Kt of ore processed

241 236 215

Kyzyl Albazino Varvara Dukat Svetloye Omolon Mayskoye Voro

CLIMATE RISK MANAGEMENT

KEY IMPACTS HOW WE ADAPT