OREANDA-NEWS. July 21, 2014. Polyus Gold International Limited (LSE - PGIL, OTC (US) - PLZLY, “PGIL”, “Polyus Gold” or the “Company”), the largest gold producer in Russia, releases its operating results for Q2 and H1 2014.

Highlights

Quarterly refined gold production increased by 4% year-on-year to 414 thousand ounces

Significant increase in gold production at Olimpiada (+23%) and Verninskoye (+76%)

On track to meet 2014 guidance for gold production of between 1.58 and 1.65 million ounces

Estimated quarterly gold sales of USD 527 million (Q2 2013: USD 464 million)

Expected cash position of USD 1,169 million, estimated net debt position of USD 388 million at 30 June 2014.

Pavel Grachev, Interim Chief Executive Officer of Polyus Gold, commented:

“In Q2 2014, Polyus Gold continued to deliver consistent growth in gold production achieving a 4% year-on-year increase to 414 thousand ounces. Both Olimpiada, our flagship mine, and Verninskoye, our newest operation, delivered double-digit quarterly growth in gold output (+23% and +76% year-on-year respectively).

The Company’s financial position remains robust. We managed to lower our net debt in Q2 2014 by USD 72 million as compared to Q1 2014 to USD 388 million, while advancing our investment projects including Natalka.

We remain on track to meet our 2014 production guidance and continue to focus on implementing operational improvements across our portfolio and maintaining the Company’s financial stability amid sustained gold price volatility.”