OREANDA-NEWS. October 5, 2012. METALLOINVEST (“the Company”), a leading global iron ore and HBI producer based in Russia, today announces its audited IFRS financial results for six months ended June 30, 2012.

Financial Highlights

- Consolidated revenue USD 4,458 million (-7.6% h-o-h[1])

- EBITDA USD 1,642 million (-13.1%)

- EBITDA margin 36.8% vs. 39.2% in H2 2011

- Net Income USD 1,312 million (+187.1%)

- Net Debt[2] USD 6,108 million (+37.8%)

- Net Debt / EBITDA 1.7x vs.1.1x in H2 2011

- Capital expenditures USD 210 million (-5.8%)

- Total assets USD 12,126 million (+15.9%)

[1] Hereinafter

[2] Net Debt is accounted as long-term borrowings plus short-term borrowings minus cash and cash equivalents

Production Highlights

- Iron ore 19.9 million tonnes (-0.3%)

- Pellets 11.5 million tonnes (+2.7%)

- HBI/DRI 2.7 million tonnes (+3.9%)

- Hot metal 1.1 million tonnes (-8.3%)

- Crude steel 2.8 million tonnes (-4.6%)

Corporate Highlights

Finance

- Debut issue of RUR-denominated unsecured corporate bonds amounting to RUR 25,000 million (USD 853 million) with maturity of 10 years and a put option in 2015 at the 9.0% coupon rate

- Partial repayment of USD 700 million under the terms of the existing PXF loan ahead of the schedule

- Purchase of RUR-denominated promissory notes for USD 2,479 million

- Payment of dividends on ordinary shares in the amount of USD 290 million for the first 9 months of 2011

- Disposal of Metalloinvesttrans for USD 569 million

- Return to a 4% stake in Norilsk Nickel

- Confirmation of ‘BB-‘/Stable rating by Fitch

- Assignment of ‘BB-‘ with a Positive outlook by S&P

Investments

- Ongoing construction of Pellet Plant #3 at MGOK

- Launch of a new vacuum degasser at Ural Steel

- Start of an oxygen facility construction at OEMK

- Signing of HBI-3 construction contract with Siemens and MIDREX consortium

Social responsibility

- Signing of Social Partnership Programmes for 2012 with the Government of Belgorod and Administration of Kursk Regions