NEWS RELEASE                                  

                                              For Immediate Release - June 09, 2017

        Chelyabinsk Zinc Plant announces the issue of the report on payments to    
                                      governments                                  

    Chelyabinsk Zinc Plant (LSE, MICEX-RTS: CHZN), Russia's largest producer of
    zinc and zinc alloys, issues the report on payments to governments for the year
    ended 31 December 2016

    The report contains the review of payments to governments, made in 2016 by PJSC
    Chelyabinsk Zinc Plant and its subsidiaries arising from activities involving
    the exploration, prospection, discovery, development and extraction of
    minerals.

    Information in the report is prepared in accordance with the requirements of
    Reports on Payments to Governments Regulations 2014 (2014/3209) and DTR 4.3A of
    the Financial Conduct Authority's Disclosure and Transparency Rules.

    The report is available on Company's website: http://en.zinc.ru/for-investors/
    reports/. 

    Payments per governments

    '000 RUB              Taxes in republican         Payments for             Total      
                             budget of the           infrastructure                       
                              Republic of       improvements in regional                  
                              Kazakhstan        budget of Karagandinski                   
                                                region, the Republic of                   
                                                       Kazakhstan                         
                                                                                          
    The Republic of             833,759                  22,778               856,537     
    Kazakhstan                                                                            
                                                                                          
    Total                       833,759                  22,778               856,537     

    Payments per project

    '000 RUB              Taxes in republican         Payments for             Total      
                             budget of the           infrastructure                       
                              Republic of        improvements regional                    
                              Kazakhstan        budget of Karagandinski                   
                                                region, the Republic of                   
                                                       Kazakhstan                         
                                                                                          
    LLP "Nova Zinc"             833,759                  22,778               856,537     
                                                                                          
    Total                       833,759                  22,778               856,537     

    Chelyabinsk Zinc Plant is the leading Russian zinc and zinc alloys producer. In
    2016 the plant produced 174,803 tonnes of salable SHG zinc.

    According to consolidated IFRS accounts, revenue in 2016 was RUB 30,347 mln and
    EBITDA was RUB 6,964 mln.

    Ordinary shares of CZP are traded on the Moscow exchange under ticker CHZN and
    Global Depository Receipts (GDR) are traded on the London Stock Exchange under
    ticker CHZN.

    Investor and Media Contacts: Natalya Vasilieva, PR, ngv@zinc.ruTel: +7 (351)
    799-01-52