OREANDA-NEWS. On May 12, 2008 KAZAKHMYS PLC, common shares of which are traded in the official list of Kazakhstan Stock Exchange (KASE) of category "A", provided KASE with the press release which reads as follows, reported the press-centre of KASE:

Kazakhmys confirms that it received last night an indicative and non-binding proposal in the form of a letter from ENRC.

The non-binding indicative proposal

Under the terms of this proposal from ENRC, Kazakhmys shareholders would receive for each share held:

- 1,022 pence in cash, and

- a dividend in specie of 0,413 ENRC shares representing Kazakhmys' current holding in ENRC.

The proposal values each Kazakhmys share at approximately 1,550 pence, which is well below the current share price.

Response from the Kazakhmys Board of Directors

The Board of Kazakhmys has considered and unanimously rejected the proposal from ENRC.