Polymetal Int PLC POLY Kazakh court ruling on 2008-2010 disputes

  Polymetal Int PLC (POLY) - Kazakh court ruling on 2008-2010 disputes

RNS Number : 6279Q
Polymetal International PLC
08 November 2012






            

Release time IMMEDIATE
Date         08 November 2012





Polymetal International plc

  Kazakh court ruling on 2008-2010 disputes



Polymetal International  plc  (LSE:  POLY) (together  with  its  subsidiaries, 
including JSC  "Polymetal"  -  "Polymetal", the  "Company",  or  the  "Group") 
announces that  on November  5^th the  Kostanay regional  court in  Kazakhstan 
issued a ruling supporting the tax authorities and requiring the Group to  pay 
approximately US$19 million in additional taxes.

On November  5^th, 2012  the  Kostanay regional  court (Kazakhstan)  issued  a 
ruling on  the tax  dispute between  JSC Varvarinskoye,  a subsidiary  of  the 
Group, and  the Kazakh  tax authorities.  Additional corporate  profit tax  of 
approximately US$14 million has been charged to JSC Varvarinskoye.

An additional fine will be charged at the maximum amount of 50% of the initial
amount which will increase the total amount to be paid to approximately  US$19 
million.

The dispute reflected varying opinions of the Group and the tax authorities on
tax deductibility of non-cash  foreign exchange losses and  oftransportation, 
treatment and  refining  charges  levied by  copper  concentrate  off-takers. 
Polymetal will review its options for further legal redress in due course.

No provision  had  been  set  aside  in  the  financial  statements  for  this 
settlement as of  June 30, 2012.  Full amount of  approximately US$19  million 
will be reflected as an expense in the financial statements for FY2012.

Enquiries



    Media                        Investor Relations
College Hill   +44 20 7457    Polymetal          ir@polymetalinternational.com
               2020
Leonid Fink                   Maxim Nazimok      

Tony Friend                   Evgenia Onuschenko +7 812 313 5964 (Russia)

                              Elena Revenko      +44 20 7016 9503 (UK)
    Joint Corporate Brokers       
Morgan Stanley +44 20 7425    Canaccord Genuity  +44 20 7523 8350
               8000
Sam McLennan                  John Prior

Sandip Patodia                Roger Lambert



FORWARD-LOOKING STATEMENTS

THIS RELEASE MAY INCLUDE STATEMENTS THAT ARE, OR MAY BE DEEMED TO BE,
"FORWARD-LOOKING STATEMENTS". THESE FORWARD-LOOKING STATEMENTS SPEAK ONLY AS
AT THE DATE OF THIS RELEASE. THESE FORWARD-LOOKING STATEMENTS CAN BE
IDENTIFIED BY THE USE OF FORWARD-LOOKING TERMINOLOGY, INCLUDING THE WORDS
"TARGETS", "BELIEVES", "EXPECTS", "AIMS", "INTENDS", "WILL", "MAY",
"ANTICIPATES", "WOULD", "COULD" OR "SHOULD" OR SIMILAR EXPRESSIONS OR, IN EACH
CASE THEIR NEGATIVE OR OTHER VARIATIONS OR BY DISCUSSION OF STRATEGIES, PLANS,
OBJECTIVES, GOALS, FUTURE EVENTS OR INTENTIONS. THESE FORWARD-LOOKING
STATEMENTS ALL INCLUDE MATTERS THAT ARE NOT HISTORICAL FACTS. BY THEIR
NATURE, SUCH FORWARD-LOOKING STATEMENTS INVOLVE KNOWN AND UNKNOWN RISKS,
UNCERTAINTIES AND OTHER IMPORTANT FACTORS BEYOND THE COMPANY'S CONTROL THAT
COULD CAUSE THE ACTUAL RESULTS, PERFORMANCE OR ACHIEVEMENTS OF THE COMPANY TO
BE MATERIALLY DIFFERENT FROM FUTURE RESULTS, PERFORMANCE OR ACHIEVEMENTS
EXPRESSED OR IMPLIED BY SUCH FORWARD-LOOKING STATEMENTS. SUCH FORWARD-LOOKING
STATEMENTS ARE BASED ON NUMEROUS ASSUMPTIONS REGARDING THE COMPANY'S PRESENT
AND FUTURE BUSINESS STRATEGIES AND THE ENVIRONMENT IN WHICH THE COMPANY WILL
OPERATE IN THE FUTURE. FORWARD-LOOKING STATEMENTS ARE NOT GUARANTEES OF FUTURE
PERFORMANCE. THERE ARE MANY FACTORS THAT COULD CAUSE THE COMPANY'S ACTUAL
RESULTS, PERFORMANCE OR ACHIEVEMENTS TO DIFFER MATERIALLY FROM THOSE EXPRESSED
IN SUCH FORWARD-LOOKING STATEMENTS. THE COMPANY EXPRESSLY DISCLAIMS ANY
OBLIGATION OR UNDERTAKING TO DISSEMINATE ANY UPDATES OR REVISIONS TO ANY
FORWARD-LOOKING STATEMENTS CONTAINED HEREIN TO REFLECT ANY CHANGE IN THE
COMPANY'S EXPECTATIONS WITH REGARD THERETO OR ANY CHANGE IN EVENTS, CONDITIONS
OR CIRCUMSTANCES ON WHICH ANY SUCH STATEMENTS ARE BASED



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MSCUGGWAGUPPUQR -0- Nov/08/2012 07:00 GMT