OREANDA-NEWS. August 24, 2009. EURASIAN NATURAL RESOURCES CORPORATION PLC, a company listed on Kazakhstan Stock Exchange (KASE), provided KASE with a press release, reported the press-centre of KASE:

Quotation beginning

Highlights for H1 2009

- Revenue of US1.7 billion (H1 2008: US3.4 billion), down 51%;

- Underlying EBITDA of US0.6 billion (H1 2008: US2.2 billion), down 71%;

- EPS of US 43 cents (H1 2008: US 104 cents) per share;

- Interim dividend of US 6 cents (H1 2008: US 12 cents) per share.

- Costs (exc devaluation gain) decreased 17%; unit cost of sales (exc MET/Royalties) down (vs FY 2008) for our main products.

Divisions:

Ferroalloys Division:

- Revenue in H1 2009: USD862 m (H1 2008: USD2,110 m).

- EBITDA H1 2009: USD311 m (77.9 %). (H1 2008: USD1,408 m).

Iron Ore Division:

- Revenue in H1 2009: USD469 m (H1 2008: USD768 m).

- EBITDA H1 2009: USD212 m (55.5 %). (H1 2008: USD476 m).

Alumina and Aluminum Division:

- Revenue in H1 2009: USD251 m (H1 2008: USD421 m).

- EBITDA H1 2009: USD17 m (89.2 %). (H1 2008: USD158 m).

Energy Division:

- Revenue H1 2009: UDS179 m (H1 2008: USD229 m).

- EBITDA H1 2009: USD92 m (9.8 %). (H1 2008: USD102 m).

Logistics Division:

- Revenue H1 2009: USD64 m (H1 2008: USD106 m).

- EBITDA H1 2009: USD19 m (34.5 %). (H1 2008: USD29 m).

Business Highlights for H1 2009

- Rapid and decisive management response to downturn from Q4 2008:

  - Production cut back to match demand;

  - Working capital management - inventories reduced to target levels; no material credit issues;

  - Tight control of costs.

- Significant increase in ferroalloys and iron ore sales to China versus the comparable period.

- Production has moved up through H1 2009, ahead of the Group's expectations at the beginning of the year:

  - Ferroalloys production Q2 vs Q1 2009 rose 31%; in June 2009 Kazchrome's capacity utilisation for total ferroalloys was 84%;

  - Primary iron ore concentrate production Q2 vs Q1 2009 rose 35%; in June 2009 capacity utilisation was 91%.

- Resumption of ferroalloys production in Tuoli.

- Acquisition of a 25% stake in Shubarkol, a key supplier of semi-coke and thermal coal.

- Commissioning of 700 ktpa Donskoy chrome pelletiser in July 2009 and an enrichment plant later in H2 2009.

- Strong balance - net cash available - USD2 bn.

Strategy

- Support and develop low-cost activity;

- Continue and increase current stock and powers;

- Increase value and develop client base thanks to expanding commodity nomenclature;

- Widen assets and strengthen presence in regional sectors and within the main commodity nomenclature; and

- Abide by high corporate responsibility standards with emphasize on environment protection and labor safety.

Outlook for 2009

- Anticipating further progress in the Group's performance in H2 2009. Product prices will remain below the levels of 2008; some cost increases anticipated.

- Broad improvement in market conditions; progress in supply chain destocking for key commodities and some early signs of restocking.

- Increased belief in the sustainability of Chinese domestic demand growth and of an improving outlook for the United States, Europe and Russia.

- Management remain confident of the Group's longer term success, based on its proximity to key markets, its low costs and its growth opportunities.

The full version of the press release of EURASIAN NATURAL RESOURCES CORPORATION PLC is available at the KASE website at:

- http://www.kase.kz/files/emitters/GB_ENRC/gbenrc_reliz_190809.pdf - in Russian and Kazakh;

- http://www.kase.kz/files/emitters/GB_ENRC/gbenrc_reliz_190809e.pdf - In English.